New Delhi [India], The Household Consumption Expenditure Survey released by NSSO indicates a significant change in the spending patterns by consumers. At current prices, spending has increased by 164 percent in rural areas and 146 percent in urban areas since 2011-12.
The data shows that expenditure on food has declined significantly in both rural and urban areas. The contribution of food items to MPCE in 2022-23 has declined from about 53 per cent in 2011-12 to 46 per cent in rural areas and to 39 per cent in urban areas from 43 per cent in 2011-12.
However, the contribution of non-food items to MPCE in 2022-23 has increased from about 47 per cent in 2011-12 to 54 per cent in rural areas and to 61 per cent in urban areas from 57 per cent in 2011-12.From 2011-12 to 2022-23, the consumption share of milk and milk products, fruits, egg, fish and meat, beverages and processed food, transport and durable goods has increased in both rural and urban areas.
NSSO data also suggests a decline in the urban-rural gap in average MPCE. In 2022-23, the gap at current prices will reduce from 84 per cent in 2011-12 to about 71 per cent. When adjusted for 2011–12 prices, the gap narrowed from 84 percent to about 75 percent.
According to the survey, the country witnessed a significant growth in monthly per capita consumption expenditure (MPCE) in 2022-23, with rural expenditure reaching Rs.3,773 and urban expenditure Rs. 6,459, which represents an increase of 164 per cent and 146 per cent respectively from 2011-12 at current prices. Adjusted to 2011–12 prices, the increase is 40 percent in rural areas and 33 percent in urban areas.
The data shows that the contribution of food items to MPCE in 2022-23 has declined from about 53 per cent in 2011-12 to 47 per cent in rural areas and from 43 per cent to 40 per cent in urban areas in 2011-12.
It said the Gini coefficient, which is used to measure inequalities such as income, showed a reduction in consumption inequality, with rural inequality falling from 0.283 to 0.266 and urban inequality falling from 0.363 to 0.314.
The data shows that expenditure on food has declined significantly in both rural and urban areas. The contribution of food items to MPCE in 2022-23 has declined from about 53 per cent in 2011-12 to 46 per cent in rural areas and to 39 per cent in urban areas from 43 per cent in 2011-12.
However, the contribution of non-food items to MPCE in 2022-23 has increased from about 47 per cent in 2011-12 to 54 per cent in rural areas and to 61 per cent in urban areas from 57 per cent in 2011-12.From 2011-12 to 2022-23, the consumption share of milk and milk products, fruits, egg, fish and meat, beverages and processed food, transport and durable goods has increased in both rural and urban areas.
NSSO data also suggests a decline in the urban-rural gap in average MPCE. In 2022-23, the gap at current prices will reduce from 84 per cent in 2011-12 to about 71 per cent. When adjusted for 2011–12 prices, the gap narrowed from 84 percent to about 75 percent.
According to the survey, the country witnessed a significant growth in monthly per capita consumption expenditure (MPCE) in 2022-23, with rural expenditure reaching Rs.3,773 and urban expenditure Rs. 6,459, which represents an increase of 164 per cent and 146 per cent respectively from 2011-12 at current prices. Adjusted to 2011–12 prices, the increase is 40 percent in rural areas and 33 percent in urban areas.
The data shows that the contribution of food items to MPCE in 2022-23 has declined from about 53 per cent in 2011-12 to 47 per cent in rural areas and from 43 per cent to 40 per cent in urban areas in 2011-12.
It said the Gini coefficient, which is used to measure inequalities such as income, showed a reduction in consumption inequality, with rural inequality falling from 0.283 to 0.266 and urban inequality falling from 0.363 to 0.314.
