Determinants of Demand for Rice with Implications for Peri-Urban Household Food Security in Southwestern Cameroon

Arthur Ngandeu Kouekam¹, Ernest L. Molua², Ajapnwa Akamin² and Cynthia J. Mkong^2,

¹Centre for Independent Development Research, CIDR, P.O. Box 58 Buea, SWR, Cameroon

²Department of Agricultural Economics and Agribusiness, University of Buea, P.O Box 63 Buea, Cameroon

Cite this paper:
Arthur Ngandeu Kouekam, Ernest L. Molua, Ajapnwa Akamin and Cynthia J. Mkong. Determinants of Demand for Rice with Implications for Peri-Urban Household Food Security in Southwestern Cameroon. Journal of Food Security. 2018; 6(2):51-54. doi: 10.12691/jfs-6-2-1

Abstract

This study evaluates the determinants and elasticity of the demand for rice in Buea municipality. Cross-sectional data was obtained from sixty rice consuming households in six localities of the Buea municipality. The data obtained was analyzed using multiple regression analysis. Product price, consumers¡¯ income, family size and substitute price were found to significantly influence the demand for rice at 5% level. The demand for rice is price inelastic and as such, consumers are reluctant to forego the consumption of rice due to the prestige attached to its consumption as a ¡°festive food¡±. The relatively high-income elasticity for rice suggests a potential for the emergence of a large market for rice in the future in Buea. Estimated cross elasticity coefficient between rice and spaghetti shows that consumers in Buea perceive rice to be complementary to spaghetti. Periodic wage reviews in the line of current economic indices will put more income in the hands of consumers coupled with the adoption of modern processing techniques in rice production which will go a long way to generate increased demand for rice in Buea.

Keywords:
rice demand elasticity food security Cameroon

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