Key Points
New Delhi:For the first time in independent Indias history, households are now allocating less than half of their monthly consumption expenditure on foodacross both rural and urban India...
The working paper, which analysed the data in the household consumption expenditure surveys of 2011-12 and 2022-23, found that overall monthly per capita expenditure in urban and rural India has grown by more than 150 percent over this period...
Within this category, the most significant increase has been the increase in the share of expenditure on conveyance (which includes spending on diesel and petrol) from 4.2 percent in 2011-12 to 7.5 percent in 2022-23, the paper said.. Notably, the spending on pan, tobacco, and intoxicantscollectivelyincreased from 2.7 percent of monthly expenditure to 3.2 percent...
Similar to rural areas, the analysis for urban households suggests that the smaller northeastern state Sikkim has grown by 364 percent in terms of MPCE, which increased from Rs 2,608 in 2011-12 to Rs 12,106 in 2022-23, the paper said...
Increased consumption of perishable items such as fresh fruits, milk & milk products, eggs, fish & meat also reflects significant improvements in infrastructure related to transport, storage and overall advancement of the supply chain and logistics factors, which have made these products accessible and affordable to the bottom 20 percent of households both in rural and urban areas across the country, the paper said...
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