ANALYSIS OF DEMAND WITHIN THE BEEF VALUE CHAIN IN MAIDUGURI, BORNO STATE, NIGERIA.

The study examined the beef value chain with a view of measuring the elasticities of demand within the chain. Specifically, price elasticity of demand, cross price elasticity and expenditure elasticity were measured using the LA/AIDS Model. Data for the study were obtained through structured questionnaire administered to buyers of beef and processed beef products which include tsire, balangu and kilishi. A total of 400 respondents were selected through convenience sampling. The results of the study revealed uncompensated own price elasticity of beef was unitary elastic (-0.9664), compensated own price elasticity was inelastic (-0.0526) and expenditure elasticity (1.3752) showed beef was a luxury good. Uncompensated cross price elasticity showed beef was complement with mutton, chevon and camel while compensated cross elasticity showed beef and mutton were complements and beef was substitute to chevon and camel. Uncompensated own price for kilishi was unitary (-0.9755), tsire (-2.6837) and balangu (-3.8467) were elastic while compensated own price for kilishi (-0.0866) was highly inelastic and tsire (-2.4315) and balangu (-3.4834) were elastic. Kilishi (1.4349) and balangu (3.2058) were luxury goods and tsire (0.9439) was a necessary good. Uncompensated cross price elasticity showed kilishi and balangu were substitutes, tsire and kilishi and tsire and balangu were complements while compensated cross price elasticity showed balangu and kilishi were substitutes, balangu and tsire and tsire and kilishi were complements. It was recommended that since the products studied were mostly luxury goods, policy measures geared at ensuring increased incomes such as increased minimum wage and employment creation which would concurrently increase purchasing power of consumers should be exploited.