This paper analyzes food consumption patterns of Vietnamese households, using a complete demand system and socio-demographic information. Demand elasticities are estimated
using the AIDS model and the latest Vietnamese household survey data in 2006. The results
indicate that food consumption pattern in Vietnam are affected by income, price as well as socioeconomic
and geographic factors. All food has positive expenditure elasticities and negative
own-price elasticities. In particular, rice has mean expenditure elasticity of 0.36 and mean own-price elasticity of -0.80. Thus, an increase in the price in rice by one percent will reduce rice
consumption by 0.8 percent, on average. On the other hand, an increase in the income by 1 percent leads to an increase in rice demand by 0.36 percent. It indicates that food consumption
in urban and rural areas, and among regions and income groups are different. It points out that
targeted food policies should be formulated based on specific food demand patterns in the
groups.