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Consumption of dairy products in urban China: results from Beijing, Shangai and Guangzhou

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  • Fuller, Frank H.
  • Beghin, John C.
  • Rozelle, Scott

Abstract

Using urban survey data collected by the authors in 2001–02, this paper analyses demographics, cultural factors and purchasing behaviours influencing the consumption of fresh milk, yogurt, ice cream and powered milk in Beijing, Shanghai and Guangzhou, China. Results from estimation of a double-hurdle model of consumption show that income and marketing channels are the key determinants of milk consumption levels; however, education, advertising and convenience play a more important role in consumption of other dairy products. There is some evidence that milk powder, as a consumer good, may be becoming an inferior product in urban China. Finally, the survey data suggest that the growing sophistication of China’s retail sector is influencing consumption of dairy products.

Suggested Citation

  • Fuller, Frank H. & Beghin, John C. & Rozelle, Scott, 2007. "Consumption of dairy products in urban China: results from Beijing, Shangai and Guangzhou," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 51(4), pages 1-16.
    • Handle: RePEc:ags:aareaj:118526
    DOI: 10.22004/ag.econ.118526
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    2. Boimah, Mavis & Weible, Daniela, 2022. "Consumer behavior towards imported dairy products: a cross-cultural analysis of products from three origins in Ghana and Senegal," Conference papers 333409, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    3. Shaosheng Jin & Rao Yuan & Yan Zhang & Xin Jin, 2019. "Chinese Consumers’ Preferences for Attributes of Fresh Milk: A Best–Worst Approach," IJERPH, MDPI, vol. 16(21), pages 1-16, November.
    4. Pei XU & Shi ZHENG & Mesbah MOTAMED, 2010. "Perceived risks and safety concerns about fluid milk among Chinese college students," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 56(2), pages 67-78.
    5. Huidan Xue & Chenguang Li & Liming Wang, 2021. "Spatial Price Dynamics and Asymmetric Price Transmission in Skim Milk Powder International Trade: Evidence from Export Prices for New Zealand and Ireland," Agriculture, MDPI, vol. 11(9), pages 1-20, September.
    6. Ahmed, Wasim & Hussain, Safdar & Jafar, Rana Muhammad Sohail & Guang-Ju, Wang & Rabnawaz, Ambar & Saqib, Zulkaif Ahmed & JianZhou, Yang, 2016. "Impacts of Trade Liberalization on Dairy Industry in China," MPRA Paper 70385, University Library of Munich, Germany.
    7. Huang, Jikun & Wu, Yunhua & Yang, Zhijian & Rozelle, Scott & Fabiosa, Jacinto & Dong, Fengxia, 2012. "Marketing China's milk: A case study of the sales activity of dairy farmers in greater Beijing," China Economic Review, Elsevier, vol. 23(3), pages 675-689.
    8. Lei, Lei & Shimokawa, Satoru, 2020. "Promoting dietary guidelines and environmental sustainability in China," China Economic Review, Elsevier, vol. 59(C).
    9. Hailong Yu & H. Holly Wang & Binglong Li, 2018. "Production system innovation to ensure raw milk safety in small holder economies: the case of dairy complex in China," Agricultural Economics, International Association of Agricultural Economists, vol. 49(6), pages 787-797, November.
    10. Hussain, Safdar & Ahmed, Wasim & Rabnawaz, Ambar & Jafar, Rana Muhammad Sohail & Saqib, Zulkaif Ahmed & Ullah, Sana & JianZhou, Yang, 2016. "Client Intentions and Buying Behavior with Regard of Dairy Products-Review," MPRA Paper 70383, University Library of Munich, Germany.
    11. Rongzhu Cheng & Qianqian Wang & Longbao Wei, 2022. "Income growth, employment structure transition and the rise of modern markets: The impact of urbanization on residents’ consumption of dairy products in China," PLOS ONE, Public Library of Science, vol. 17(4), pages 1-17, April.
    12. Yuquan Chen & Xiaohua Yu, 2022. "Estimating market power for the Chinese fluid milk market with imported products," Agribusiness, John Wiley & Sons, Ltd., vol. 38(2), pages 386-401, April.
    13. Rezgar Mohammed, 2020. "The Impact of Income on Household Expenditure on Dairy Products: Evidence from the United States Dairy Market," Eurasian Journal of Economics and Finance, Eurasian Publications, vol. 8(1), pages 16-23.
    14. Xiu, Changbai & Klein, K.K., 2010. "Melamine in milk products in China: Examining the factors that led to deliberate use of the contaminant," Food Policy, Elsevier, vol. 35(5), pages 463-470, October.

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