Modeling Import Demand for Fishery Products in Japan: A Dynamic AIDS Approach

Abstract

A dynamic AIDS model was employed to estimate the expenditure, own-price, and cross elasticity of five major import source countries for shrimp, salmon, albacore and tuna, crab, and cuttlefish in Japan. Our findings show that COVID-19 has had no significant impact on Japan’s fishery imports in the short term. The expenditure elasticities of fishery imports in Japan are greater than 1 or close to 1, implying that consumers in Japan have a relatively high dependence on fishery imports. Specifically, the expenditure elasticities of shrimp and cuttlefish imports from Vietnam, albacore and tuna imports from Australia, and crab imports from Russia are close to 1, while their own-price elasticities are the least sensitive compared with other import source countries, suggesting a greater export potential in the Japanese market.