Demand for animal food in the rural and urban of Maluku, Indonesia
Lia Rohmatul Maula1, Ratya Anindita2, Titis Surya Maha Rianti1, Anugrah Rizki , Nikmatul Khoiriyah1,
1Department of Agribusiness, Faculty of Agriculture, University of Islam Malang, Malang, Indonesia
2Department of Socio Economic, Faculty of Agriculture, Brawijaya University, Malang, Indonesia
Abstract
Protein deficiency has a permanent and long-term effect, which is a decrease in intelligence, abnormal growth, and stunting. Maluku is the province with the lowest protein consumption in Indonesia. The purpose of this study is to analyze the impact of price, income, and demographic factors on animal protein food demand, using the Quadratic Almost Ideal Demand System approach. The research data used 2016 Susenas data of 4,811 households. The results showed that an increase in animal food prices by one percent decreased demand for eggs, chicken, beef, fish and milk, respectively, by 0.452%, 2,024%, 4,382%, 2,507%, and 0.969%. The most elastic beef was followed by chicken, fish, milk, and eggs with income elasticities of 3,928%, 2,278%, 1,752%, 1,456%, and 0.562%, respectively. All animal foods are luxury items, except eggs are normal goods. In urban areas, beef, fish and fresh milk are complementary, whereas in rural areas all animal foods are substitutes. To meet protein consumption, the Maluku government needs to maintain stable animal food prices
Keywords: food demand system, high price, protein, Maluku, Indonesia
Topic: Food Safety