Consumption Pattern and Elasticities of Demand of Major Food Items among Farm Households in Andhra Pradesh

We examined food consumption pattern of farm households in Andhra Pradesh. Income and price elasticities were also estimated for major food items using AIDS model. The Primary data were collected from 240 farm households spread over in different regions of Andhra Pradesh. The results revealed that monthly food expenditure for all the income groups was Rs.7450. The per centage of food expenditure was high for meat followed by pulses, cereals, vegetables, oil and fruits for all the income groups. The income elasticities of demand for major food items revealed that cereals had low elasticities for all the income groups when compared to elasticities of livestock and horticulture products such as milk, meat, fruits, vegetables etc. Crop diversification and milch animals rearing should be strengthened for regular income to the farm households which will reduce the food expenditure inequalities among farm households.