Assessing the Impact of Tariffs on Consumer Prices and Food Security of Red Meat and Poultry in the Kingdom of Saudi Arabia
DOI:
https://doi.org/10.59992/IJFAES.2026.v5n9p6Keywords:
Imports, Consumer Prices, Strategic Stocks, Food Security, MeatAbstract
Given the potential adverse effects of tariffs on food imports, this study assesses the impact of import tariffs on consumer prices and food security for red meat and poultry in the Kingdom of Saudi Arabia using econometric analysis. The findings indicate that Saudi Arabia imposed a 5% tariff on red meat imports throughout the period 2003–2024. In contrast, tariffs on poultry meat imports increased over time, reaching 25% during 2022–2024. By the end of the study period (1990–2024), the food security indices for red meat and poultry reached 0.39 and 0.42, respectively. Because the tariff rate on red meat imports remained unchanged over the study period, its effect on the Consumer Price Index (CPI) was statistically insignificant. In contrast, a 10% increase in the tariff rate on poultry meat imports was associated with a 0.7% increase in the poultry price index. Furthermore, a 10% increase in the estimated consumer price indices for red meat and poultry was associated with decreases of 13.6% and 10.6%, respectively, in their corresponding food security indices. Based on these findings, the study recommends that the government continue to absorb the cost of tariffs imposed on imported agricultural production inputs. It also recommends determining an optimal tariff rate for food imports, with particular emphasis on strategically important food commodities, to balance the objectives of food security and consumer price stability.
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