Chicken Supreme: How the Indonesian Poultry Sector Can Survive Avian Influenza
Avian influenza is a deadly disease that can spread rapidly through poultry. There are many documented cases of transmission from birds to people, but as yet only rare instances of human to human transmission. Nonetheless, public health officials are concerned about the possibility of a human pandemic, and many countries have policies of banning imports of live birds and poultry meat from infected regions. The potential impacts on Indonesia of a production shock, a shift in consumption or a trade ban are assessed using a heterogeneous product model where imports are differentiated by source. Empirical results suggest the likely trade impacts in Indonesia are minimal because its trade is a small share of production.
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