Is there a win-win scenario with both limited beef production and reduced beef consumption?

Résumé

In the scientific literature, the debate on health and environmental benefits of a reduction in the share of animal-sourced food, in particular beef, in consumer diets is mostly focused on demand-side vs. supply transitions. We discuss in this paper the necessary conditions for a win-win scenario to exist, where consumer preferences for diets with less red meat are accompanied by a transition in livestock production systems towards higher average quality of beef. Trade-offs between quantity and quality of beef at the consumer level, and between domestic and international markets for producers are presented, as well as the determinants of reduced beef consumption, productivity gains, innovation in quality and environmental impacts in the case of France. We present a simplified model of aggregate consumer surplus and producer profit, with decisions on beef demand, output price and quality, to explore the necessary combination of changes in consumer preferences, producer strategies and public policies, required to produce a win-win scenario. Our experiment provides conditions for a win-win scenario, including increased efficiency on domestic and international beef markets and enhanced consumer awareness. We suggest research priorities and policy recommendations for accompanying transition in food preferences and cattle production system.