Price analysis of meat in the Philippines, 1988-2002

Date

2004

Degree

Bachelor of Science in Agricultural Economics

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Quicoy, Cesar B.

Abstract

This study sought to analyze the behaviour of meat prices in the Philippines from 1988 to 2002. In attaining this objective, description of the meat industry was made and the trend in meat production, consumption and meat prices (nominal and real terms) including the price spread were determined using the linear regression analysis. Moreover, the seasonal price variation of meat was also analyzed by utilizing the ratio-to-moving average method. In line with the findings, policy implications and recommendations were discussed. Result of the study showed that the Philippine meat industry has been an import dependent for several years now, indicating that the country has no or less sufficiency in meat particularly for pork, chicken and beef. Primarily, the industry consists of pork, chicken and beef with the first one accounting for the largest. Production of the three commodities exhibited a fluctuating but increasing trend for the past 15 years. Top producing regions of pork were Central Luzon (Region 3), Southern Tagalog (Region 4) and Southern Mindanao (Region 1). For Chicken meat, top producing regions wereSothern Tagalog (Region 4), Central Luzon (Region 3) and Western Visayas (Region 6). Meanwhile, top producing regions of beef were Ilocos Region (Region 1), Sothern Tagalog (Region 4) and Central Visayas (Region 7). Similar to production, meat consumption also manifested an upward sloping trend for the period covered with apparent fluctuations. Top consuming regions were the same for the three commodities, which include the National Capital region (NCR), Southern Tagalog (Region 4) and Central Luzon (Region 3). For nominal meat prices, chicken commodity remained to be the most expensive at the farm level followed by beef and the least one was pork. At the retail level on the other hand, beef was the most expensive followed by pork and the cheapest was chicken. Price trend at the farm and retail level also exhibited an upward trend characterized by some fluctuations. Meanwhile, the real prices of the three commodities both at the farm and retail level manifested a declining trend for the past 15 years. At the farm level, pork showed the least seasonal price variation while the least one was chicken. Whereas, at the retail level both pork and beef manifested less seasonality in prices while chicken was marked with high price seasonality. From 1988 to 2002, farm retail price spread of pork, chicken and beef showed a generally increasing trend. Among these commodities, beef revealed the highest marketing margin followed by pork and the least one was chicken. With the increasing supply and demand gap of meat, rising farm to retail price spread and fluctuating prices, continuous support from the government should be provided to resolve or somehow minimize these problems. Research studies are indispensable to find or develop new ways to improve productivity. Likewise, the government must also give attention on the current situation of the marketing structure and establish an efficient marketing system in any means to reduce the wide marketing of meat.

Language

English

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993.5 2004 A14 A38

Document Type

Thesis

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