DETERMINANTS OF GLOBAL DEMAND ON EGYPTIAN DRIED ONION

Document Type : Original Article

Authors

1 Food Processing Economics Research Unit, Food Technology Research Institute, Agricultural Research Center, Giza, Egypt

2 Agric. Economics Dept., Fac. of Agric., Ain Shams Univ., P.O. Box 68, Hadyek Shoubra 11241, Cairo, Egypt

Abstract

The drying industry for vegetable crops, especially the onion crop, is one of the most important food industries that achieve quality and safety of food in addition to open the doors of export. Germany is the main importer of Egyptian dried onions by 28.8% of the average total Egyptian onion exports with an average of 3448 tons as an average for the study period (2013-2017) .Followed by the Netherlands in the list of the most important importers of Egyptian dried onions with an average quantity of about 2816 tons, representing 23.5% of the average Egyptian exports of dried onions. Japan accounted for 9.2% of Egypt's total exports of dried onions with an average of 819 tons, followed by Greece, Belgium, Britain and Brazil respectively. The most important variables effecting on Egyptian dried onion were import price of Egyptian dried onion in the foreign markets and export pric
es of the competing countries, as well as the average per capita income of importing countries, as well as their population. It was found that the study of external demand functions for the Egyptian dried onions were low price elasticity of demand (inelastic demand) for Japan. where, the increase in the price of Egypt's dried onion exports to Japan by 1% led to a decrease in the quantity of exports by 0.51% ,While the demand of the United Kingdom  was elasticity equal with unit , where, the increase in the price of Egypt's dried onion exports to the Kingdom by 1% leads to a decrease in the quantity of exports by the same percentage, while it was found that the demand for Egyptian exports of dried onions is flexible for the countries of the Netherlands - Brazil  Belgium, where the price of Egypt exports of dried onions by Ratio of 1% leads to a decline in the amount of exported quantity by 1.36%, 1.7%, 1.8% respectively 

Keywords