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Consumption of Dairy Products in Urban China: Results from Beijing, Shangai and Guangzhou

  • Fuller, Frank H.
  • Beghin, John C.
  • Rozelle, Scott

Using urban survey data collected by the authors in 2001-2002, this paper analyzes demographics, cultural factors, and purchasing behaviors influencing the consumption of fresh milk, yogurt, ice cream, and powered milk in Beijing, Shanghai, and Guangzhou, China. Results from estimation of a double-hurdle model of consumption show that income and marketing channels are the key determinants of milk consumption levels; however, education, advertising, and convenience play a more important role in consumption of other dairy products. There is some evidence that milk powder, as a consumer good, may be becoming an inferior product in urban China. Finally, the survey data suggest that the growing sophistication of China's retail sector is influencing consumption of dairy products.

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Paper provided by Iowa State University, Department of Economics in its series Staff General Research Papers with number 12730.

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Date of creation: 29 Oct 2007
Date of revision:
Publication status: Published in Australian Journal of Agricultural and Resource Economics, December 2007, vol. 51 no. 4, pp. 459-474
Handle: RePEc:isu:genres:12730
Contact details of provider: Postal: Iowa State University, Dept. of Economics, 260 Heady Hall, Ames, IA 50011-1070
Phone: +1 515.294.6741
Fax: +1 515.294.0221
Web page: http://www.econ.iastate.edu
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  1. Golan, Amos & Moretti, Enrico & Perloff, Jeffrey M., 2001. "A Small-Sample Estimator for the Sample-Selection Model," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt4c82d2nv, Department of Agricultural & Resource Economics, UC Berkeley.
  2. repec:ags:auagre:126561 is not listed on IDEAS
  3. Dong, Diansheng & Gould, Brian W., 2007. "Product Quality and the Demand for Food: The Case of Urban China," China's Agricultural Trade: Issues and Prospects Symposium, July 2007, Beijing, China 55030, International Agricultural Trade Research Consortium.
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  8. Steven T. Yen & Helen H. Jensen, 1995. "Determinants of Household Expenditures on Alcohol," Center for Agricultural and Rural Development (CARD) Publications 95-wp144, Center for Agricultural and Rural Development (CARD) at Iowa State University.
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  17. Zhang, Wei & Wang, Qingbin, 2003. "Changes In China'S Urban Food Consumption And Implications For Trade," 2003 Annual meeting, July 27-30, Montreal, Canada 21986, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  18. Huang, Jikun. & Bouis, Howarth E., 1996. "Structural changes in the demand for food in Asia.:," 2020 vision discussion papers 11, International Food Policy Research Institute (IFPRI).
  19. Thomas Reardon & C. Peter Timmer & Christopher B. Barrett & Julio Berdegué, 2003. "The Rise of Supermarkets in Africa, Asia, and Latin America," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(5), pages 1140-1146.
  20. Paris, Quirino & Caputo, Michael R., 2001. "Sensitivity Of The Gme Estimates To Support Bounds," Working Papers 11966, University of California, Davis, Department of Agricultural and Resource Economics.
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  22. Angulo, Ana Maria & Gil, Jose Maria & Gracia, Azucena, 2001. "The demand for alcoholic beverages in Spain," Agricultural Economics, Blackwell, vol. 26(1), pages 71-83, October.
  23. Rutherford, A.S., 1999. "Meat and milk self-sufficiency in Asia: forecast trends and implications," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 21(1), August.
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