Abstract
The gradual disappearance of pastures due to overgrazing of cattle, high cost of meat (red and poultry) and gradual increasing domestic demand, so far, meat imports in Iran have been inevitable to meet domestic needs. In this article, the authors have used RSDAIDS model, the economic factors (meat prices and costs) and non-economic factors (prevalence of diseases) affecting the demand for meat (beef and poultry) during the years 2002-16 have been investigated. The results of this study shed light on Iran consumer preferences with regard to imported meat. This is the first study that analyzes the Iran meat demand differentiated by source. In this study, it was observed that Brazil, United Arab Emirates, Ireland and Turkey were the most gainer from an increase in the size of the imported meat market of Iran. Also, these countries had a competitive advantage compared with other export sources.
Highlights
Iran is the second largest country in the Middle East with a population of nearly 80 million people
An important part of meat production in Iran is allocated for poultry production; 2.172 million tonnes of poultry have been produced in 2017
The restricted source differentiated almost ideal demand system (AIDS) (RSDAIDS) imposes block substitutability, which assumes that the cross-price effect of products in good ‘j’ on the demand for product ‘h’ in good ‘i’, are the same for all products in good ‘j’ (Yang and Koo, 1994)
Summary
Iran is the second largest country in the Middle East with a population of nearly 80 million people. After Egypt, Iran is regarded as the second largest consuming market in the Middle East followed by North Africa with approximately 80 million consumers. According to the reports released during 2018 by the Iranian Center for Strategic Research, the production of beef, mutton and poultry has reached 2.673 million tonnes in 2017 (with a growth rate of 0.8% in comparison to the previous year). An important part of meat production in Iran is allocated for poultry production; 2.172 million tonnes of poultry have been produced in 2017 (with a growth rate of 0.5% in comparison to the previous year). In 2017, the per capita meat (including both beef and mutton) and poultry consumption has been reported to 26 and 12 kg, respectively
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