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Demand For Food Quantity And Quality In China

Author

Listed:
  • Gale, H. Frederick, Jr.
  • Huang, Kuo S.

Abstract

As their incomes rise, Chinese consumers are changing their diets and demanding greater quality, convenience, and safety in food. Food expenditures grow faster than quantities purchased as income rises, suggesting that consumers with higher incomes purchase more expensive foods. The top-earning Chinese households appear to have reached a point where the income elasticity of demand for quantity of most foods is near zero. China’s food market is becoming segmented. The demand for quality by high-income households has fueled recent growth in modern food retail and sales of premium-priced food and beverage products. Food expenditures and incomes have grown much more slowly for rural and low-income urban households.

Suggested Citation

  • Gale, H. Frederick, Jr. & Huang, Kuo S., 2007. "Demand For Food Quantity And Quality In China," Economic Research Report 7252, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uersrr:7252
    DOI: 10.22004/ag.econ.7252
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    References listed on IDEAS

    as
    1. Gould, Brian W. & Dong, Diansheng, 2004. "Product Quality And The Demand For Food: The Case Of Urban China," 2004 Annual meeting, August 1-4, Denver, CO 20010, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
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    6. Gale, H. Frederick, Jr., 2006. "Food Expenditures by China's High-Income Households," Journal of Food Distribution Research, Food Distribution Research Society, vol. 37(01), pages 1-7, March.
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