Economic factors affecting food consumption

1. Economic Factors Affecting Food
Consumption
Prepared by
MILAN DHAKAL
Economic Factors Affecting Food
Consumption
6/21/2020

2. Economic Factors Affecting Food Consumption
Major economic factors influencing food
consumption are listed below:-
♣ Income
♣ Food Price
♣ Effects of Change in Technology
♣ Occupation
♣ Storage/Cooking Facilities
♣ Advertising Media
♣ Changing Economy
♣ ..................(can add more)
Economic Factors Affecting Food
Consumption
6/21/2020

3. 1. INCOME
 Most important factor influencing food consumption pattern
 Surveys show that people with low income have poorer diet
than those with higher income
 Surveys conducted in different countries show that as
income increases the expenditure on food decreases. As
people grow richer they spend more on clothing,
transportation, recreation etc than food
 High income group purchase higher priced foods like animal
pdts, fruits etc
 Also consumption of fast food is more in high income group
people
Economic Factors Affecting Food
Consumption
6/21/2020

4. 2. Food Price
Price of food is particularly important factor
for people with low income.
Food prepared at home is often cheaper than
eating out or fast food
Price of food affects the quality and quantity
of that purchased.
Generally high quality food cost more but
this is not true always.
Economic Factors Affecting Food
Consumption
6/21/2020

5. 3. Effects of change in technology
Change in technology changes food
consumption pattern
Eg :- comfortable and efficient house, high
socioeconomic level, more electric appliances
like refrigerators and mixers, use of pressure
cookers, new food pdts and development of
food shops(departmental stores,
supermarkets etc)
Economic Factors Affecting Food
Consumption
6/21/2020

6. Contd....
Introduction of new food products brings big
changes in food consumption. Eg consumption
of broiler chicken
In Britain, households with refrigerator obtain
relatively more of their energy from protein
and fat and less from CHO and higher
proportion of their total protein from animal
source.
Economic Factors Affecting Food
Consumption
6/21/2020

7. 4.Occupation
 Type of occupation also affects food consumption
pattern
 Food consumption primarily depends on the level of
income of different occupation
 In Egypt, it was found that a family with a head and/or
housewife having a higher income occupation
consumes animal protein foods and fruits, and less
CHO foods
 Household budget Survey in Bahrain demonstrated
that expenditure differed a/c to the head of the
household. Household with high occupation had less
expenditure than with low occupation
Economic Factors Affecting Food
Consumption
6/21/2020

8. 5.Storage/cooking Facilities
If storage and cooking facilities are poor then
it is inevitable that people will have to rely on
manufactured and pre-packed foods which
require little more than unwrapping and
reheating, or buy their food at restaurants or
take-away food shops.
Economic Factors Affecting Food
Consumption
6/21/2020

9. 6.Advertising Media
Play important influence on the food
consumption
Purchase of food products is markedly affected
by attractive offers and the persuasive
advertising by radio, TV, newspaper, magazines,
internets, posters etc
Advertisement uses the psychological aspects of
food by including terms like delicious, pleasing,
etc
Mostly youths are influenced by advertisement
Economic Factors Affecting Food
Consumption
6/21/2020

10. 7.Changing Economy
Nepal is an agricultural country but nowadays
attraction towards agriculture is decreasing day
by day
This lead to a decline in agricultural products with
the result of more dependable on imported foods
Greater part of Nepalese economy depends on
remittance
Price of food commodities is raising day by day
which decreases purchasing power and has great
impact on food consumption
Economic Factors Affecting Food
Consumption
6/21/2020

11. Thank you for your attention!!!
Economic Factors Affecting Food
Consumption
6/21/2020