Consumer expenditure elasticity and value of household food waste: a case study in Kurunegala District

Abstract

Household food waste is driven by consumer habits and behaviour, varying with demographic, social, and economic factors. This study aims to determine whether household food waste is a luxury good and identify how demographic and socioeconomic factors affect household food waste. A Quadratic Almost Ideal Demand System (QUAIDS) model was used, augmented with demographic, socioeconomic, and expenditure controls. Data from 195 respondents via an online survey in the Kurunegala district (October 2022) covered food habits and waste. Food categories included rice, cereals, pulses, fruits, vegetables, meat, fish, dairy, eggs, and miscellaneous foods. The value of Household food waste was estimated using a proxy value derived from multiplying waste amounts by monthly grocery expenditures. The demand system estimation showed that all food waste categories were normal goods. Rice, cereals, pulses, fruits, vegetables, and miscellaneous foods were necessity goods, while meat, fish, dairy, and eggs were luxury goods. Expenditure share on household food waste varies with residence area and income level, and most households practice waste management and have positive attitudes toward minimizing waste.