Demand of animal source of food in Central Java, Indonesia
Titis Surya Maha Rianti (a*), Nikmatul Khoiriyah (a)

(a) Department of Agribusiness, Faculty of Agriculture, University of Islam Malang, Indonesia
*rianti.titis[at]unisma.ac.id

Abstract

Consumption protein was often used as an indicator of household welfare. This study analyzed the impact of price and income increases on demand for animal food in rural households in Central Java, using a Quadratic Almost Ideal Demand System model approach. The research data used data from the National Socio-Economic Survey (Susenas), totaling 27,200 households. The results showed that a one percent increase in animal food prices reduced the demand for eggs, chicken, beef, fish, and milk by 0.505%, 1.281%, 4.099%, 3.424%, and 1.915%, respectively. The most elastic animal food group is beef meat, followed by milk, fish, chicken, and eggs with income elasticities of 3.278%, 2.339%, 2.156%, 1.411%, and 0.556%. All animal food is a luxury item except eggs, which are normal goods. Beef is a substitute for fish, chicken, and eggs, while milk is complementary. Both price and income policies were effective for rural households. They are very responsive to changes in prices and income.

Keywords: food demand system, food price, protein, Central Java-Indonesia

Topic: FOOD SAFETY AND SECURITY