Demand Analysis For Beef And Pork Consumption Among Households In Port Harcourt City Of Rivers State, Nigeria – Research Paper

This study explores the key factors influencing the demand for beef and pork among households in Port Harcourt City, Rivers State, Nigeria. By examining the socioeconomic characteristics of households, the research identifies critical determinants of meat consumption patterns, highlighting the preferences for beef over pork and the factors constraining consumption.

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Through a survey of 100 respondents, the study sheds light on how demographic and economic variables affect meat demand, providing insights into strategies that could improve meat-protein intake in the region.

The findings offer valuable recommendations for policy interventions to enhance meat availability and affordability.

Co-Author Of the Study

Ikechi Kelechi Agbugba_, Ezihuo Nmegbu, Department of Agricultural and Applied Economics, Rivers State University, PMB 5080, Port Harcourt, Nigeria, Agribusiness Management, Rome Business School (Nigerian Campus), Ikeja, Lagos, Nigeria.

ABSTRACT

The study examined the determinants of demand for beef and pork by households in Port Harcourt City, Rivers State, Nigeria. Specifically, the objectives described respondents’ socioeconomic characteristics; examined the factors influencing the demand for beef and pork and lastly and comparatively assessed their demand and consumption by respondents.

The study achieved this by disseminating copies of structured questionnaires to households to elicit data on their preference, as well as the reasons and constraints to their demand, thereby making recommendations that would help improve their meat-protein intake. Data was generated from 100 respondents in the study area using simple random sampling procedure. Descriptive and inferential statistics were employed in data analysis.

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The result on socio-economic characteristics indicated that majority (76%) of the respondents were females within the age category of 21-30years (34%). Also, the majority (72%) experienced tertiary education’s with and mean of 7 persons per household, while majority (78%) of beef consumers had the highest preference compared to that of pork (22%).

The study therefore recommends that policies and programs aimed at enhancing the availability of beef and pork at a reduced cost should be implemented. More so, aid in the form of grants, loans and subsidies should be given to the key players. 

Keywords: Demand, beef, pork, cattle, pigs, households, Nigeria 

INTRODUCTION

Cattle and pigs are livestock animals reared basically for meat consumption. Studies have shown that meat is a major protein source and about 200g of it per day in human diet is required for healthy living by humans in developing countries (Food and Agriculture Organization, 2018).

Cattle production is predominant in the Northern part of Nigeria, while pork is predominant in the Southern region (Anyanwu, 2012). This variance in its distribution is as a result of some socio-economic, climatic and religious factors. Islamic religion prohibits the consumption of pork, whereas the climate favours cattle production and agribusiness.

This does not necessarily mean that pig production would not thrive well in the North seeing that the North produces enough food that could be channeled into feeding the pigs compared to Southern Nigeria (Mokoele, 2015). 

The demand for both products take into consideration the income distribution of households, how much of the income is allocated to meat purchase and the prevailing market price of the products per kg in Port Harcourt Local Government Area.

Anyanwu et al. (2012) carried out a study that showed that animal protein is important for human body development, both physically and mentally. He further stated that animal protein deficiency could result to high incidence of infant mortality and malnutrition and the rate of consumption of protein when compared to the required level is low in Nigeria (Kuku-Shittu et al., 2016).

This is because many Nigerians cannot afford the animal protein which is richer in amino acid compared to the close substitute fish and egg which are more affordable.

According to Nwachukwu and Udegbunam (2020) beef is consumed more and available to consumers compared to its close substitutes which include pork, basically due to its production and distribution, pigs need to be reared and fed incurring high cost compared to cattle that graze on fields. Also, the rate on conversion of feed to meat is higher in cattle compared to pig (Food and Agriculture Organization, 2017). 

Nutritionally, beef and pork provide protein that aids in growth and repair of body tissues. They are also rich in different vitamins, minerals, micronutrients and fats and also aid in body metabolism such as the absorption of iron and zinc.

With the awareness of its nutritional value, the demand for beef is ever on the increase with increase in population. Prices of animal product are beyond the reach of the average Nigerian due to the increase in production and maintenance cost of farm animals.

Despite this increase in the cost of animal products, the demand is still believed to increase annually with population increase and level of income coupled with the fact that animal protein intake is needed for healthy living (Henchion et al., 2017).  

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A major problem government bodies and policy makers face in Nigeria is how to improve household food intake. Household foods in terms of quality and quantity of the food as well as seeking to address the problem of malnutrition and nutritional imbalance in the growing population of the country (Iwuchukwu et al., 2015).

Esobhawan (2008) has stated that Nigeria is highly deficient in animal protein security with the per capita consumption estimated to be 9.3g per day compared to the recommended 34g per day by Food and Agricultural Organization (FAO) as the minimum requirement for healthy growth and development of the body (Food and Agriculture Organization, International Fund for Agricultural Development, United Nations for International Children’s Emergency Fund, Wood Food Program and World Health Organization, 2018).   

Baum et al. (2020) noted protein consumption is pivotal for the state of well-being of every individual. Despite the large livestock population in Nigeria, the daily per capita intake by Nigerians is 6grams, far below the 12grams stipulated by World Health Organization, WHO (Raghavendra, 2007).

Siting that the low protein intake by many Nigerians can be traced back to the decline in livestock production, both correlating recent findings by Oladimeji (2017).

Despite the favorable policies and programs put in place by the federal government of Nigeria in improving the livestock industry and the meat production in particular, there has been little result achieved in this direction (Bennett et al., 2018)  

In order to tackle the problem of protein intake deficiency, we must strive to raise the level of animal protein consumption in our food menu (Verbeke & Vackier, 2004). One way of doing this is by improving the knowledge of what people eat and the factors influencing their demand for certain foods.

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There is need for the supply of the right quantity and mix of nutrients to the body because nutrients have been found to have a strong empirical linkage with both human health and productivity (Sushchik et al., 2017).

This implies that a healthy and nutritionally well-fed population is pivotal for attaining economic growth and development in any country and yet there are persistent reports on widespread malnutrition among Nigerians.

Beef and Pork are two major sources of animal protein and if its production is improved upon it can help reduce or eradicate the problem of malnutrition in the nation (Gillespie & van den Bold, 2017).

The study sought to ascertain the household demand for beef and pork in relation to household income and price of products, identify factors influencing household demand in Port Harcourt and make suggestions on how to aid policy agencies on increasing the protein level in the nation.  

METHODOLOGY

The study was conducted in Port Harcourt City of Rivers State, Nigeria. The area can be described as a major metropolitan city in South-South geopolitical zone of Nigeria. It is referred to as the administrative capital of Rivers State, which is situated in the Niger Delta region of Nigeria.

The area lies between 4.75°N and 7°E with a network of rivers and tributaries (for e.g., New Calabar, Orashi, Bonny, Sombrero and Bartholomew Rivers) which provide great opportunity for fish farming.

From registered population of households in Port Harcourt Local Government Area, 100 households (20 households each) were randomly selected from the five (5) randomly selected communities in the study area.

Well-structured questionnaires were used in data collection. The copies of the questionnaire were divided into four sections to capture the specific objectives of the study. Primary data were collected through the administration of questionnaire, Focus Group Discussion (FGD) and observations at the field. 

Data were analyzed using descriptive and inferential statistical tools. The descriptive tools include mean, percentages and frequency counts while the inferential tools involved the use of Ordinary Least Square Multiple Regression Analysis Ordinary Least Square Multiple Regression analysis

The implicit forms of the regression model are expressed as:

Y_b = f( x₁, x₂ , x₃, x₄ , x₅ , x₆ , x_7,  e)                                                                         ……….  (1)

Y_p = f( x₁, x₂ , x₃, x₄ , x₅ , x₆ , x_{7 ,} e) ……….  (2) Y_f = f( x₁, x₂ , x₃, x₄ , x₅ , x₆ , x_{7 ,} e).       ……….. (3) 

The explicit form given as Y = f(x₁ + x₂ + x₃ + x₄ + x₅   +x₆   + x₇ + e)  (4)

Where, Yb, Yp = household consumption of beef and pork, respectively (kg)

 X₁ = gender of consumer (D: 1=male; 0=female) 

X₂ = age of respondent (years)

X₃ = educational attainment (years)

X₄ = marital status (D: 1= single; 0= married)

X₅ = household size (number of persons) 

X₆ = Taste and preference 

X₇ = own price of beef (naira)

X₈ = own price of pork (naira) X₉ = income(naira) e = error term.

The relationship between dependent and independent variables can be examined using four functional forms, linear, semi log, double log and exponential function, giving the following explicit equations.

Linear function: Y= β₀ + 1 β₁X₁ +β₂X₂ + β₃X₃ + β₄X₄ + β₅X₅ + β₆X₆ + β₇X₇ + β₈X₈ + β₉X₉ + e Semi log:  Y = Y= β₀ + β₁ logX₁ +β₂ logX₂ + β₃ logX₃ + β₄ logX₄ + β₅ logX₅ + β₆ logX₆ + β₇                            logX₇ + β₆X₆ + β₇X₇ + β₈X₈ + β₉X₉ + e

Double log function: log Y = Y= β₀ + β₁ logX₁ +β₂ logX₂ + β₃ logX₃ + β₄ logX₄ + β₅ logX₅ + β₆ logX₆ + β₇ logX₇ + β₈X₈ + β₉X₉ + e

Exponential function: log Y = Y= β₀ + β₁X₁ +β₂X₂ + β₃X₃ + β₄X₄ + β₅X₅ + β₆X₆ + β₇X₇ + β₈X₈ + β₉X₉ + e β₀ = intercept β₁, β₂ … β₉ = estimated coefficients

The function that gives the best fit will be chosen, it must fulfill the following criteria: highest R² value, highest number of significant variables, highest F- value and conformity to a priori expectation of coefficients.

5-Point Likert Scale 

In analyzing the constraints influencing the demand for both meats, we make use of the Likert scale in showing how the respondents rate the constraints. This will help in deriving the result as to whether the constraints are most influential or least influential based on demand for beef and pork.

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The rating points on the scale adopted were 1, 2, 3, 4 and 5.

Where 1= very low; 2 = low; 3= moderate; 4= high; 5= very high;

We make use of the following decision rules 3.0  5 + 4 + 3 + 2 + 1/n  

 Where n = 5 15/5   =   3.0

In ranking the constraints, we made use of the formula

R₅F₅   +   F₄ R₄   +   F₃R₃   +  … F₁R₁ / n to find the mean

Where n = 100

 R (1, 2, 3, 4, 5) = Rating (1, 2, 3, 4, 5)

 F (1, 2, 3, 4, 5) = Frequency (1, 2, 3, 4, 5) 

RESULTS AND DISCUSSION Regression Results for Quantity Demanded of Pork and Beef

The Regression Results for Quantity Demanded of Pork and Beef is presented in Table 1.

Table 1: Regression Results for Quantity Demanded of Pork and Beef

Note: ** significant at 5%, *** significant at 1%, * significant at 10% Source: Computed from Field Survey Data, 2015. 

Table 1 shows the regression results of the analysis on demand for pork and beef in the study area. From the model, four (4) functional forms were used for regression.

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They are linear, semi log, double log and exponential and their coefficients of multiple determination were 0.598, 0.593, 0.370 and 0.344, respectively. The linear function was chosen as the lead equation due to its statistical significance which formed a basis from the economic theory that supported the consumption function.

As indicated in Table 1.0, the coefficient of multiple determination which is 0.598 implies that about 59.8% of the variation in the quantity demanded in the study area is accounted for by the explanatory variables. In other words, preference and income indicated high significance at 5%, which implied that both factors influenced the demand for beef in the study area.

Therefore, the price of beef is not statistically significant at any level of probability; hence, beef price is clearly not a significant determinant of demand for beef in the area.

It is therefore negatively related to the quantity of beef demanded which means that an increase in the level of for beef will lead to a commensurate decrease in the quantity demanded of it in the study area.

The price of pork showed signs of negative correlation which clearly implied that an increase in the pork price as a close substitute will also cause an increase in beef demand.

The age of beef consumers indicated a positive relationship to the quantity of meat demanded, which implies that the older the respondents the more meat they demand contrary to the meat demand for the younger ones.

This conforms to the findings of Anyanwu et al. (2012) which state that children move from consuming milk as a source of protein to meat in most households.

Household size is described as insignificant since it is a determinant factor, which makes it impossible for all members of the household to exercise preference for beef irrespective of its negative correlation with household size; an implication that the larger the household size, the lower the quantity of beef demanded.

This can therefore be justified due to the fact that the larger the household size, the more likely it is to its primary source, since it is a cheaper alternative protein source like fish and egg.

Educational attainment is also a statistically insignificant variable in the area. This implies why the lowly and highly educated consumers of meat are negatively correlated, which is indication that the more enlightened the people are about beef, the lesser of its consumption they would go for less-fatty protein alternatives like fish and chicken.

Due to the inelasticity in the prices of beef and pork, a -0.002 increase in the price of beef will lead to a unit decrease in the quantity of beef demanded. On the other hand, a 0.012 increase in the price of pork will cause a unit increase in the quantity of beef demanded. In their findings, Nwachukwu & Udegbunam (2020) made a similar observation.  

Pork Consumption

More so, results on the linear model show that in the linear model, three explanatory variables were statistically significant at 5% level of probability. The coefficient of multiple determination is stated thus: 0.734, 0.736, 0.755 and 0.822, for linear, semi log, double log and exponential respectively, the linear function was selected as the lead equation for analysis of the demand for pork.

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The coefficient of multiple determination for pork 0.734 implies that the explanatory variables explain about 73.4% of the variations in the quantity of pork demanded in Port Harcourt local government area.

From the result, preference, income and own pork were statistically significant at 5% level of significance in the study area. Preference is positively correlated with the quantity of pork demanded which implies improving the preference of pork would increase its demand.

Income was positively correlated with the demand for pork which implies that the higher the income of the household head, the more likely they are to consume pork. Owned price of pork is another significant determinant in the study area, it is positively correlated which implies that an increase in the price of pork results in an increase in the demand but note that the value 0.12 can be used to show the response to be positive but inelastic.

Also, the price of pork correlates positively with quantity demanded for pork portrays an attribute associated with ostentatious commodities.

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Price of beef is positively correlated but not significant, this means that increasing the price of beef in the area will not significantly increase the quantity of pork demanded in the area. Age is negatively correlated, implying that the older the population, the less demand for pork, this can be attributed to nutritional and health reasons.

Price of beef and pork are inelastic, 0.003 increase in the price of beef will lead to a unit increase in the quantity of pork demanded and 0.012 increase in the price of pork will cause a unit increase in the quantity of pork demanded. In his study on smallholder fresh fish marketing enterprise, Agbugba (2018) made a similar observation. 

Constraints to Beef and Pork demand by Households

In analyzing the constraints influencing the demand for both meats, the results are presented in Tables 2 and 3. Results indicated that the constraints on the demand for beef were ranked using 5-Point Likert rating scale.

Table 2: Ranking of the Constraints for Beef

Source: Field Survey (2015)  

From Table 2, results indicated that the constraints were presented in the order of importance as they pertain to the respondents in the study area. However, using the mean 3.0, constraints >3.0 have a significant influence on the demand for beef, while the constraints < 3.0 has no significant influence on the demand for beef.

The results showed that the price of beef is the highest constraining factor on demand for beef in the study area with 2.55, followed by health implication with 2.41, and the unavailability of beef, lack of fund and religious implication with 2.27, 2.27 and 1.83 respectively.

From the result, all the constraints had no significant influence on the demand for beef. This implies that there is good demand for beef by households in the study area. 

The constraints on the demand for pork were ranked using the Likert scale in their order of importance as it pertains to the respondents in the study area.  

Table 2: Ranking of the Constraints for Pork

Source: Field Survey (2015)

From Table 3, results show that unavailability of pork, price of pork, unavailability of pork and health implications (3.75, 3.39, 3.01 and 3.40 respectively) have significant influence on demand for pork since they are above 3.0, whereas lack of fund (2.74) and religious implication (2.82) do not have significant influence on demand for pork in the study area.

The result shows that there are many significant constraints influencing pork than beef in the study area, this can contribute to its low demand in the study area. Health implications rank 2nd with 3.40.

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This can be attributed to the high level of cholesterol contained in pork. This correlates with research findings by world health organization that the consumption of beef and pork is hugely influenced by medical and health concerns, its consumption is known to increase the risk of bowel and lung cancer (Huang et al., 2021).   

Comparative Assessment of the Demand for Beef and Pork

Results from the analysis using the linear model indicate that income and preference were significant for quantity demanded of beef and pork. Price of beef was not a significant factor for both products, whereas the price of pork was significant for the quantity of pork demanded and insignificant for quantity of beef demanded.

Educational attainment was negative on both tables, which means that an increase in the level of education of the population will cause a decline in the quantity of beef and pork consumed. Other socio-economic factors such as age, gender, marital status and household size showed a positive and negative interaction; hence none was significant in determining the quantity of beef and pork.  

CONCLUSION

The study posits that income, preference, price of pork and beef meats, as well as other socioeconomic features play a key role on the consumption and quantity of beef and pork demanded by households in Port Harcourt Local Government Area of Rivers State, Nigeria.

As a matter of fact, beef and pork meat are very important sources of protein due to their high nutritional quality and significance in improving human nutrition and health.   

RECOMMENDATIONS

Hence, it is therefore important that as a major source of protein, steps should be taken to ensure that they are made available to people. Efforts should be made by pig farmers to create cooperative societies towards the efficient management of pig farmers within each community so to bridge the gap of increased demand in pork meat in the area.

State government should provide agricultural support systems for pig farmers in these rural communities to expand to meet demand, alongside better market channels for pig farmers to sell their produce.

To encourage expansion to meet the demand, the government should also increase access to subsidized loans and credit facilities for pig farmers to enable them to increase their output and subsidize the cost of feedstuff for the pig farmers to increase productivity.

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In addition, Pig breeders should establish programs that will enhance indigenous preservation of germlines and potentially useful traits of pigs through on-farm and ex-situ conservation.

More so, younger generations should be incentivized in livestock farming and given improved training programs on effective health management for better productivity and job creation. 

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