IDEAS home Printed from https://ideas.repec.org/a/ags/auagre/132083.html
   My bibliography  Save this article

The Cost to the Bali Beef Industry of the October 2002 Terrorist Attack

Author

Listed:
  • Ambarawati, I Gusti Agung Ayu
  • Zhao, Xueyan
  • Griffith, Garry R.
  • Piggott, Roley R.

Abstract

The island of Bali is one of the main cattle producing areas for Indonesia. Bali is also known for its extensive tourist sector. Frozen and chilled beef are imported to fulfil the tourist demand. This imported beef, most of it from Australia, competes with the local beef in the tourist sector. The terrorist attack in October 2002 caused the tourist industry to collapse and this impact has been passed down to the demand for local and imported beef. The objective of this paper is to use an economic model of the Bali beef industry to assess the impact of this attack on the Bali beef sector. The results show that there is expected to be a significant welfare loss of Rp 5.43 billion (A$ 1.09 million) to the Bali beef industry over the medium term. Of this, Bali cattle producers are expected to lose Rp 2.57 billion (47 per cent). The quantity of Bali beef demanded by the HRI markets is forecast to drop by about 5 per cent, while imported beef demand is forecast to reduce by about 2 per cent.

Suggested Citation

  • Ambarawati, I Gusti Agung Ayu & Zhao, Xueyan & Griffith, Garry R. & Piggott, Roley R., 2004. "The Cost to the Bali Beef Industry of the October 2002 Terrorist Attack," Australasian Agribusiness Review, University of Melbourne, Department of Agriculture and Food Systems, vol. 12.
    • Handle: RePEc:ags:auagre:132083
    DOI: 10.22004/ag.econ.132083
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/132083/files/Ambarawati_%20Zhao_%20Griffith_%20Piggott%20-%20Paper%208.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.132083?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Roley R. Piggott, 1992. "Some Old Truths Revisited," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 36(2), pages 117-140, August.
    2. John D. Mullen & Michael K. Wohlgenant & Donald E. Farris, 1988. "Input Substitution and the Distribution of Surplus Gains from Lower U.S. Beef-Processing Costs," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 70(2), pages 245-254.
    3. Ambarawati, I Gusti Agung Ayu & Zhao, Xueyan & Griffith, Garry R. & Piggott, Roley R., 2003. "Distribution of Gains from Cattle Development in a Multi-Stage Production System: The Case of the Bali Beef Industry," 2003 Conference (47th), February 12-14, 2003, Fremantle, Australia 57829, Australian Agricultural and Resource Economics Society.
    4. John D. Mullen & Julian M. Alston & Michael K. Wohlgenant, 1989. "The Impact Of Farm And Processing Research On The Australian Wool Industry," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 33(1), pages 32-47, April.
    5. Piggott, Roley R., 1992. "Some Old Truths Revisited," 1992 Conference (36th), February 10-13, 1992, Canberra, Australia 147251, Australian Agricultural and Resource Economics Society.
    6. Hadi, Prajogo U. & Ilham, N. & Thahar, A. & Winarso, B. & Vincent, David P. & Quirke, Derek, 2002. "Improving Indonesia’s Beef Industry," Monographs, Australian Centre for International Agricultural Research, number 114076.
    7. Piggott, Roley R., 1992. "Some Old Truths Revisited," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 36(2), pages 1-24, August.
    8. Ambarawati, I Gusti Agung Ayu & Griffith, Garry R. & Chang, Hui-Shung (Christie), 2002. "Assessment of beef cattle development schemes on farm performance in Bali," 2002 Conference (46th), February 13-15, 2002, Canberra, Australia 125052, Australian Agricultural and Resource Economics Society.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ambarawati, I Gusti Agung Ayu & Zhao, Xueyan & Griffith, Garry R. & Piggott, Roley R., 2003. "Distribution of Gains from Cattle Development in a Multi-Stage Production System: The Case of the Bali Beef Industry," 2003 Conference (47th), February 12-14, 2003, Fremantle, Australia 57829, Australian Agricultural and Resource Economics Society.
    2. Zhao, Xueyan & Mullen, John D. & Griffith, Garry R. & Griffiths, William E. & Piggott, Roley R., 2000. "An Equilibrium Displacement Model of the Australian Beef Industry," Research Reports 28007, New South Wales Department of Primary Industries Research Economists.
    3. Benjamin Henderson & Lynn Henry & Gordon MacAulay & Jen Tatuh, 2010. "Potential Payoff from R&D in the Coconut Industry of North Sulawesi, Indonesia," Asian Economic Journal, East Asian Economic Association, vol. 24(1), pages 69-85, March.
    4. X. Zhao & J.D. Mullen & G.R. Griffith & R.R. Piggott & W.E. Griffiths, 2002. "The Economic Incidence of R&D and Promotion Investments in the Australian Beef Industry," Monash Econometrics and Business Statistics Working Papers 16/02, Monash University, Department of Econometrics and Business Statistics.
    5. Zhao, Xueyan & Griffiths, William E. & Griffith, Garry R. & Mullen, John D., 2000. "Probability distributions for economic surplus changes: the case of technical change in the Australian wool industry," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 44(1), pages 1-24.
    6. Hill, Debbie J. & Piggott, Roley R. & Griffith, Garry R., 1996. "Profitability Of Incremental Expenditure On Fibre Promotion," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 40(3), pages 1-24, December.
    7. Noel Perceval Assogba & Daowei Zhang, 2020. "An Economic Analysis of Tropical Forest Resource Conservation in a Protected Area," Sustainability, MDPI, vol. 12(14), pages 1-12, July.
    8. Sean A. Cahill, 1997. "Calculating The Rate Of Decoupling For Crops Under Cap/Oilseeds Reform," Journal of Agricultural Economics, Wiley Blackwell, vol. 48(1‐3), pages 349-378, January.
    9. Lavoie, Nathalie, 2002. "Price Discrimination in the Context of Vertical Differentiation: An Application to Canadian Wheat Exports," Research Reports 25210, University of Connecticut, Food Marketing Policy Center.
    10. Seyoum, Emayenesh & Goddard, Ellen & MacLaren, Donald & Griffith, Garry, 2002. "Modelling World Dairy Trade: The Potential Impact of Officially Supported Export Credits on the Australian Dairy Industry," 2002 Conference (46th), February 13-15, 2002, Canberra, Australia 183422, Australian Agricultural and Resource Economics Society.
    11. Rickard, Bradley J. & Gonsalves, Jana L., 2008. "How would compliance with dietary recommendations affect revenues for agricultural producers?," Food Policy, Elsevier, vol. 33(5), pages 422-433, October.
    12. James, Jennifer S., 1999. "Endogenous Quality And Agricultural Policy Analysis," 1999 Annual meeting, August 8-11, Nashville, TN 21634, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    13. Rickard, Brad & Gergaud, Olivier & Hu, Wenjing, 2014. "Trade liberalization in the presence of domestic regulations: Impacts of the proposed EU-U.S. free trade agreement on wine markets," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170462, Agricultural and Applied Economics Association.
    14. Ying Lin & Henry W. Kinnucan, 2020. "The optimal export tax for a primary commodity in a vertical market," Agricultural Economics, International Association of Agricultural Economists, vol. 51(6), pages 909-922, November.
    15. Huang, Hsin & van Tongeren, Frank & Dewbre, Joe Dewbre, Joe & van Meijl, Hans, 2004. "A New Representation of Agricultural Production Technology in GTAP," Conference papers 330233, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    16. Lavoie, Nathalie, 2002. "An Empirical Evaluation Of The Canadian Wheat Board'S Ability To Price Discriminate In Bread Wheat Exports," 2002 Annual meeting, July 28-31, Long Beach, CA 19646, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    17. Roshini Brizmohun, 2019. "Impact of climate change on food security of small islands: The case of Mauritius," Natural Resources Forum, Blackwell Publishing, vol. 43(3), pages 154-163, August.
    18. Li, Kuo & Griffith, Garry & Kingwell, Ross & Malcolm, Bill, 2017. "Measuring the Returns to Investment in Research and Development in the Australian Grains Industry," 2017 Conference (61st), February 7-10, 2017, Brisbane, Australia 258674, Australian Agricultural and Resource Economics Society.
    19. Ali, Mubarik & Ahmed, Faryal & Channa, Hira & Davies, Stephen, 2016. "Pakistan’s fertilizer sector: Structure, policies, performance, and impacts:," IFPRI discussion papers 1516, International Food Policy Research Institute (IFPRI).
    20. Henry W. Kinnucan & Øystein Myrland, 2002. "The Relative Impact of the Norway‐EU Salmon Agreement: a Mid‐term Assessment," Journal of Agricultural Economics, Wiley Blackwell, vol. 53(2), pages 195-219, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:auagre:132083. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: http://www.agrifood.info/review/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.