Abstract

The COVID-19 outbreak continues for the second consecutive year, consumers’ food consumption patterns are changing. As the number of meals at home increased, household consumption of fresh products and food / beverage products increased, while the restaurant industry significantly decreased. In addition, the decrease in inbound tourists is expected to have a significant impact not only the tourism industry but also on the restaurant industry. However, the overall impact of the food industry due to changes in consumer food consumption has not yet been identified. This paper aims to investigate changes in food demand based on statistical data for 2020 and the first and second quarters of 2021, and estimate the ripple effect of these changes on the entire industry. The food industry was classified into fresh products, food/beverage products, and food service sectors, and variables affecting this sector were set as domestic household consumption, inbound tourist consumption, and food exports. An input-output analysis was used to estimate the ripple effects on production, value-added, and employment. The results of this study will be an important material for understanding the overall damage to the food industry due to COVID-19 and estimating the ripple effect on the entire domestic industry. Moreover, it is expected that it can be used as basic data in policies related to COVID-19, such as consumption promotion policies like market support and coupon provision or emergency financial support for restaurant companies.

Full Text
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