IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this paper

The Impact of Rising Food Prices on Household Welfare in India

Listed author(s):
  • de Janvry, Alain
  • Sadoulet, Eliisabeth

Food prices have more than doubled between mid-2006 and mid-2008, creating major istress among the poor across the world, but also gainers among farm producers. While transmission was largely averted in India, increasingly open food markets indicate the need to anticipate the welfare implications of a repetition of such events in the future. This paper simulates the welfare effects of the rise in the international price of cereals and edible oils on a comprehensive typology of Indian households. Results show that large farmers (with farm size of one hectare and more) would have gained as a group, and that the average gain is large for those who gain, but that 59% of them in fact lose. The main category of poor households negatively affected by the rise in prices is rural (representing 77% of all losing poor households), both farmers and non-farmers. This is contrary to conventional wisdom that looks at the urban poor as the main category to be sheltered from rising prices through safety net measures, and expects most farmers to gain. These rural households account for 79% of the aggregate welfare loss among the poor. This makes a forceful case for the need to look beyond the urban poor when food prices rise.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL:;origin=repeccitec
Download Restriction: no

Paper provided by Institute of Industrial Relations, UC Berkeley in its series Institute for Research on Labor and Employment, Working Paper Series with number qt7xj9n1qq.

in new window

Date of creation: 01 Mar 2009
Handle: RePEc:cdl:indrel:qt7xj9n1qq
Contact details of provider: Postal:
2521 Channing Way # 5555, Berkeley, CA 94720-5555

Web page:

More information through EDIRC

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:cdl:indrel:qt7xj9n1qq. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Lisa Schiff)

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 references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.