The Spillover Effects of the Animal Feed Industry in South Korea

This study assesses the spillover effects of the feed industry using input-output analysis, measuring the effects of price hikes in the feed industry on the livestock and other industries. The effects of a 10% rise in feed prices on producer prices through direct and/or indirect spillovers to industries are as follows. Dairy and cattle farming experienced the largest effect with a 5.02% increase, followed by other livestock categories at 3.69%, meat and dairy products at 2.43%, and restaurants and bars at 0.29%. The producer price index, which reflects the proportions of different industries in a country’s economy, rose by about 0.14%, and the consumer price index rose by 0.1%.