In 2004-05, rural expenditure stood at Rs 579, while urban expenditure was Rs 1,105, reflecting a growth of 552% in rural areas and 484% in urban areas.
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According to the latest Household Consumer Expenditure Survey fact sheet released on February 24, India’s per capita monthly consumption expenditure in 2022-23 (August-July) was 33-40 percent higher compared to 2011-12 (July-June).
In 2022-23, the average per capita Monthly Household Consumption Expenditure (MPCE) stood at Rs 3,773 in rural India and Rs 6,459 in urban areas. The disparity between rural and urban expenses decreased to 71.2% from 83.9% in 2011-12, 88.2% in 2009-10, and 90.8% in 2004-05.
The National Sample Survey Office (NSSO), Ministry of Statistics and Programme Implementation has conducted a Household Consumption Expenditure Survey (HCES) during August 2022 to July 2023.
According to a factsheet on the Ministry of Statistics website, the average MPCE in rural areas surged over sixfold in 18 years, surpassing the growth rate in urban areas.
In 2004-05, rural expenditure stood at Rs 579, while urban expenditure was Rs 1,105, reflecting a growth of 552% in rural areas and 484% in urban areas.
As per the study, the average MPCE at 2011-12 prices (without imputation) also increased to Rs 3,510 in 2022-23 from Rs 2,630 in 2011-12 in urban areas.
Similarly, it rose to Rs 2,008 from Rs 1,430 in rural areas at 2011-12 prices.
It showed that the average MPCE also increased (with imputation) to Rs 6,521 in 2022-23 from Rs 2,630 in 2011-12 at current prices in urban areas.
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Similarly, it rose to Rs 3,860 from Rs 1,430 in rural areas.
The average MPCE at 2011-12 prices (with imputation) increased to Rs 3,544 in 2022-23 from Rs 2,630 in 2011-12 in urban areas.
It increased to Rs 2,054 from Rs 1,430 in rural areas.
On February 24, the ministry announced in a statement that the “comprehensive report of the survey will be published later.” Currently, only a ‘fact sheet’ summarising the findings has been made available.
This survey on household consumption expenditure was aimed at generating estimates of household MPCE and its distribution separately for the rural and urban sectors of the country, for states and union territories, and for different socio-economic groups.
The estimates of MPCE are based on the data collected from 2,61,746 households (1,55,014 in rural areas and 1,06,732 in urban areas) in the central sample spread over all states and union territories in the country.
In HCES: 2022-23, the usual practice of imputation of the value figures for consumption out of (i) home-grown/home-produced stock and (ii) gifts, loans, free collection and goods received in exchange of goods and services etc. has been continued; and accordingly, estimates of MPCE have been generated.
Besides, a provision for collection of information on the quantity of consumption for a number of items, received and consumed by the households free of cost through various social welfare programmes has been made in HCES: 2022-23.
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Consequently, the value figures for (i) food items: Rice, Wheat/Atta, Jowar, Bajra, Maize, Ragi, Barley, Small Millets, Pulses, Gram, Salt, Sugar, Edible Oil and (ii) non-food items: Laptop/PC, Tablet, Mobile Handset, Bicycle, Motor Cycle/Scooty, Clothing (school uniform), Footwear (school shoe etc.) received free of cost by the households through these programmes, have been imputed using an appropriate method.
