Title: ANALYSIS OF CONSUMPTION EXPENDITURE AND CONSUMER PREFERENCES FOR SELECTED ANIMAL PRODUCTS: THE CASE OF LOW INCOME HOUSEHOLDS IN WARRI, NIGERIA
Abstract: Most urban low-income households in Nigeria are plagued with inadequate animal protein intake level. The reasons for this according to literature include such problems as low levels of household income, large household size, low level of education of household head, age of household head, age structure of households, and location of dwelling. This study was aimed at re-examining these issues using data from Warri, a major urban area in southern Nigeria. In addition, the study investigated the hypothesis that in consumer behavior, a consumer may prefer a commodity X to a commodity Z when the preference ranking is strictly based on desire, while the same consumer would prefer Z to X when the basis for preference ranking is influenced by the ability to purchase. The result showed firstly that the monthly household – income, the household size and the age of household head in that order are the major factors through which variation in the level of household expenditure on animal protein intake by urban low-income household can be explained and predicted. Income elasticity of household expenditure on fish, chicken, beef and eggs was estimated to be 0.96 which is considered fairly high given the national figure of 0.70. this increase in household monthly income may be a veritable way of stimulating animal protein consumption among low-income urban dwellers. Secondly, it was found out that as a result of high relative prices and low income level the households actually consume less frequently some of those animal products which they desired more (i.e preferred).