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The rising costs of animal-source foods in Ethiopia: Evidence and implications

Author

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  • Bachewe, Fantu Nisrane
  • Minten, Bart
  • Yimer, Feiruz
Abstract
In many developing countries in which staple foods dominate the composition of diets, higher consumption of animal-source foods (ASF) is associated with significant nutritional benefits. Given the importance of prices for consumption decisions in these settings, we analyze ASF price patterns in the last decade (2007-2016), relying on a large-scale price dataset collected in 116 urban retail markets in Ethiopia. We document important seasonal and spatial patterns and we find, worryingly, that real prices of ASF have been increasing in the last decade by between 32 to 36 percent for three major ASF – milk, eggs, and meat. Similar price increases are noted in rural and urban areas and for tradable and non-tradable ASFs. This price trend is in contrast with staple cereals for which real prices stayed at similar levels over the last decade. As we estimate that a price increase of this magnitude would reduce consumption of ASF by approximately 25 percent, holding other things constant, it seems that more investments and attention to the production of ASF and the livestock sector are needed to reduce ASF prices and increase their consumption in Ethiopia.

Suggested Citation

  • Bachewe, Fantu Nisrane & Minten, Bart & Yimer, Feiruz, 2017. "The rising costs of animal-source foods in Ethiopia: Evidence and implications," ESSP working papers 108, International Food Policy Research Institute (IFPRI).
    • Handle: RePEc:fpr:esspwp:108
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    References listed on IDEAS

    as
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    Cited by:

    1. Fantu Nisrane Bachewe & Bart Minten, 2023. "Towards understanding vegetable and fruit markets for improved consumption and nutrition: The case of Ethiopia," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 15(4), pages 989-1005, August.
    2. repec:lic:licosd:42221 is not listed on IDEAS
    3. repec:lic:licosd:42621 is not listed on IDEAS
    4. D'Haene, E. & Desiere, S. & D'Haese, M. & Verbeke, W. & Schoors, K., 2018. "Religion, food choices, and demand seasonality: Evidence from the Ethiopian milk market," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 276029, International Association of Agricultural Economists.
    5. Bachewe, Fantu Nisrane & Minten, Bart & Tadesse, Fanaye & Taffesse, Alemayehu Seyoum, 2018. "The evolving livestock sector in Ethiopia: Growth by heads, not by productivity," ESSP working papers 122, International Food Policy Research Institute (IFPRI).
    6. Lilia Bliznashka & Simone Passarelli & Chelsey R. Canavan & Amare Worku Tadesse & Yemane Berhane & Wafaie W. Fawzi, 2021. "Changes and challenges in markets for animal source foods: a qualitative study among market vendors in Addis Ababa, Ethiopia," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 13(3), pages 583-595, June.

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    Keywords

    milk; eggs; meat; price formation; rural communities; urban communities; investment;
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