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Canadian Wheat Export Prospects In The Asian Noodle Market: Analyzing Japan And Korean Milling Industries

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Author Info

  • Veeman, Michele M.
  • Unterschultz, James R.
  • Kim, Renee B.

Abstract

The motivation for this study is the lack of knowledge of millers' preferences for noodle wheat in Asia, where noodle wheat is an expanding market segment. Data for the study are from interviews and questionnaires completed by millers in South Korea and Japan. Two different methodologies were applied--stated preference methods and semantic differential scales. Consistent results are seen from each method. Millers' choices of wheat with varying characteristics were analysed with multinomial logit models. These estimates are used to identify millers' preferred product profiles for various types of wheat and flour. Estimates are reported in the paper for millers' preferences for intrinsic quality features and trade contract terms for major types of wheat. Marginal analysis also yielded comparisons of millers' preferences in the two nations. In contrast to Australia and the United States, Canada does not produce or market a wheat variety that corresponds well to millers' preferred noodle wheat product profiles in terms of the wheat characteristics of falling number, protein level or dockage. Nor is Canada identified by millers in either of these nations as a preferred supplier of noodle wheat. Canada has a minor share of wheat exports to Korea but holds an appreciable share of Japanese wheat imports. However, Canada's market share of Japanese wheat imports may be more reflective of Japan's current regulated import process, rather than millers' preferences. Investment in product development and marketing will be necessary if Canada's share of the noodle wheat market in both Japan and Korea is to be increased.

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Bibliographic Info

Paper provided by University of Alberta, Department of Resource Economics and Environmental Sociology in its series Project Report Series with number 24055.

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Date of creation: 2002
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Handle: RePEc:ags:ualbpr:24055

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Keywords: Industrial Organization; International Relations/Trade;

References

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  1. Wilson, William W. & Gallagher, Paul W., 1990. "Quality Differences And Price Responsiveness Of Wheat Class Demands," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 15(02), December.
  2. Ahmadi-Esfahani, Fredoun Z. & Stanmore, Roland G., 1994. "Quality Premiums For Australian Wheat In The Growing Asian Markets," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 38(03), December.
  3. Alan Webb & Stephen L. Haley & Susan Leetmaa, 1995. "Enhancing US wheat export performance: The implications of wheat cleaning," Agribusiness, John Wiley & Sons, Ltd., vol. 11(4), pages 317-332.
  4. Bruno Larue, 1991. "Is Wheat a Homogeneous Product?," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 39(2), pages 103-117, 07.
  5. Wilson, William W. & Gallagher, Paul W., 1988. "Differentiation and Implicit Prices in Export Wheat Markets," Statistical Series Reports 146454, North Dakota State University, Department of Agribusiness and Applied Economics.
  6. Adamowicz, Wiktor & Swait, Joffre & Boxall, Peter & Louviere, Jordan & Williams, Michael, 1997. "Perceptions versus Objective Measures of Environmental Quality in Combined Revealed and Stated Preference Models of Environmental Valuation," Journal of Environmental Economics and Management, Elsevier, vol. 32(1), pages 65-84, January.
  7. Wilson, William W. & Koo, Won W. & Carter, Colin A., 1987. "Importer Loyalty in International Wheat Markets," Agricultural Economics Reports 23468, North Dakota State University, Department of Agribusiness and Applied Economics.
  8. Kelvin J. Lancaster, 1966. "A New Approach to Consumer Theory," Journal of Political Economy, University of Chicago Press, vol. 74, pages 132.
  9. Kuperis, Peter & Veeman, Michele M. & Adamowicz, Wiktor L., 1998. "Consumers' Responses to the Potential Use of Bovine Somatotrophin in Canadian Dairy Production," Staff Paper Series 24104, University of Alberta, Department of Resource Economics and Environmental Sociology.
  10. Ahmadi-Esfahani, Fredoun Z., 1995. "Wheat market shares in the presence of Japanese import quotas," Journal of Policy Modeling, Elsevier, vol. 17(3), pages 315-323, June.
  11. Fredoun Z. Ahmadi-Esfahani & Roland G. Stanmore, 1994. "Values of Australian wheat and flour quality characteristics," Agribusiness, John Wiley & Sons, Ltd., vol. 10(6), pages 529-536.
  12. Louviere, Jordan J., 1992. "Experimental choice analysis: Introduction and overview," Journal of Business Research, Elsevier, vol. 24(2), pages 89-95, March.
  13. Michele M. Veeman, 1987. "Hedonic Price Functions for Wheat in the World Market: Implications for Canadian Wheat Export Strategy," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 35(3), pages 535-552, November.
  14. Kwamena K. Quagrainie & James Unterschultz & Michele Veeman, 1998. "Effects of Product Origin and Selected Demographics on Consumer Choice of Red Meats," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 46(2), pages 201-219, 07.
  15. Dahl, Bruce L. & Wilson, William W., 1996. "Grades/Classes Of Hard Wheats Exported From North America: Analysis Of Demand And Trends; Summary," Agricultural Economics Reports 23356, North Dakota State University, Department of Agribusiness and Applied Economics.
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