Can Rice Replace Wheat? Evidence from Korean Consumers

Hyun Ju Park; Sang Hyeon Lee

doi:10.22698/jales.20230006

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2023 Vol.35, Issue 1 Preview Page Next Page

Research Article

Can Rice Replace Wheat? Evidence from Korean Consumers

31 March 2023. pp. 74-90

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Abstract

This study aims to investigate the demand for wheat and rice processed food in South Korea to assess the feasibility of the Korean government's ‘Measures to vitalize the rice processing industry’ policy. This policy was proposed in response to the decline in rice consumption and the country's high dependency on imported wheat. However, the empirical research on consumer demand for rice processed food and its ability to replace wheat is limited. This study aims to address two main questions: the extent to which consumers consider wheat and rice processed food as substitutes, and the potential impact on rice consumption if the rice processing industry expands. The study used household account book data from 2010-2021 and a survey of 1,550 households to estimate the demand system, using the Source Differentiated Almost Ideal Demand System (SDAIDS) method. The results suggested that despite the substitutability of rice and wheat processed foods, rice-processed foods may also substitute for white rice consumption. Therefore, the expected increase in total rice consumption via rice processing may be overestimated.

Keywords

Grain processed food

Rice demand

Rice processing industry

SDAIDS

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Information

Publisher :Agriculture and Life Sciences Research Institute, Kangwon National University
Publisher(Ko) :강원대학교 농업생명과학대학 농업생명과학연구원
Journal Title :Journal of Agricultural, Life and Environmental Sciences
Journal Title(Ko) :농업생명환경연구
Volume : 35
No :1
Pages :74-90
Received Date : 2023-03-07
Revised Date : 2023-03-10
Accepted Date : 2023-03-12
DOI :https://doi.org/10.22698/jales.20230006

Journal of Agricultural, Life and Environmental Sciences ISSN:2233-8322(Print) 2508-870X(Online) 농업생명환경연구

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