Household Food Demand in Riau Province, Indonesia: A Censored Demand System Approach Including Demographic Effects

Prices, expenditures, and demographic characteristics influence household food consumption patterns. This study examines household food demand in Riau Province, Indonesia, by estimating expenditure and price elasticities and assessing demographic effects across food groups. Data from 8,246 households in the 2023 National Socioeconomic Survey (SUSENAS), covering 13 food groups, were analyzed using a censored Quadratic Almost Ideal Demand System (QUAIDS) incorporating 18 demographic variables. The results show that expenditure elasticities are positive for all food groups, with FAFH, fruits, and meat showing relatively high responsiveness, while cereals show the lowest responsiveness. Uncompensated own-price elasticities are negative for all food groups, with meat and nuts exhibiting elastic responses. Almost all compensated cross-price and Morishima elasticities are positive, predominantly indicating substitution responses. Demographic characteristics also significantly influence household food demand. Female-headed households show higher tuber consumption than male-headed households, while postgraduate education is associated with higher consumption of eggs & milk, fruit, and FAFH. Food consumption patterns also differ significantly by occupation, marital status, and urban-rural location. These findings suggest that household demographic differences should be considered when designing food and nutrition policies to address diverse food demand patterns in Riau Province.