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Government of India
Ministry of Statistics & Programme Implementation
08-July-2011 11:58 IST
Key Indicators of Household Consumer Expenditure in India, 2009-10
The National Sample Survey Office (NSSO), Ministry of Statistics and Programme Implementation has released the key indicators of household consumer expenditure in India, generated from the data collected in its 66th round survey during July 2009 - June

 

The National Sample Survey Office (NSSO), Ministry of Statistics and Programme Implementation has released the key indicators of household consumer expenditure in India,  generated from the data collected in its 66th round survey during July 2009 - June 2010. NSS surveys on consumer expenditure are conducted quinquennially starting from 27th round (October 1972 – September 1973) and the last quinquennial survey was conducted in NSS 61st round (July 2004- June 2005) for which, the results have already been released. The NSS 66th round was the eighth quinquennial round on the subject.

 

The NSS consumer expenditure survey aims at generating estimates of household monthly per capita expenditure (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. These indicators are amongst the most important measures of the level of living of the respective domains of the population and are crucial input for estimation of prevalence of poverty by the Planning Commission. The detailed results of quinquennial survey on consumer expenditure are usually brought out by the NSSO through a number of reports. In order to make available the salient results of the survey, well in advance of the release of its reports, for use in planning, policy formulation, decision support and as input for further statistical exercises, the NSSO has released the key indicators.

 

The key indicators are based on the Central Sample consisting of 7,524 villages in rural areas and 5,284 urban blocks spread over all States and Union Territories except in (i) interior villages of Nagaland situated beyond five kilometres of a bus route (ii) villages in Andaman and Nicobar Islands which remain inaccessible throughout the year and (iii) Leh, Kargil and Poonch  districts of Jammu and Kashmir.

 

In the 66th round consumer expenditure survey, the data on household consumption was collected with three reference periods of preceding 7 days, 30 days and 365 days for specified set of items of the consumption basket. Two types of schedules namely Schedule 1.0 Type 1 and Schedule 1.0 Type 2 were canvassed during the survey. The reference periods for different Item Groups divided in three Categories in both the schedules of  the survey are summarized below:

 

Reference periods used for collection of consumption data in Schedule 1.0 Type 1 and Type 2

Cate-gory

                 Item groups

Reference period for

Schedule Type 1

Schedule Type 2

I

Clothing, bedding, footwear, education, medical (institutional), durable goods

‘Last 30 days’ and ‘Last 365 days’

Last 365 days

II

Edible oil; egg, fish & meat; vegetables, fruits, spices, beverages and processed foods; pan, tobacco & intoxicants

Last 30 days

Last 7 days

III

All other food, fuel and light, miscellaneous goods and services including non-institutional medical; rents and taxes

Last 30 days

Last 30 days

 

  From each sample household where Schedule Type 1 was canvassed, two measures of MPCE emerged. This was because for each such household, there were two sets of data for Category I items – “last 30 days” data and “last 365 days” data – unlike items of Categories II and III, for which only “last 30 days” was available. Thus there were two ways of measuring household MPCE: one using “last 30 days” for all items, and the other using “last 365 days” data for Category I items and “last 30 days” for the rest. The first measure of MPCE is called MPCEURP (Uniform Reference Period MPCE) and the second, MPCEMRP (Mixed Reference Period MPCE). From data on MPCEURP and MPCEMRP (collected from households where Schedule Type 1 was canvassed), two alternative estimates of the distribution of MPCE and average MPCE can be built up.

 

From each sample household where Schedule Type 2 was canvassed, a single measure of MPCE emerged, as, for each item of consumption, data for only one reference period had been collected. Since the reference period system used for Schedule Type 2 was only a slight modification of the Mixed Reference Period (differing only in the reference period used for Category II items), this measure of MPCE is called the MPCEMMRP (Modified Mixed Reference Period MPCE).

The values of different types of average MPCE for NSS 61st and 66th rounds at all-India level are given below:

 

Average MPCE (Rs.)

NSS Round

MPCEURP

MPCEMRP

MPCEMMRP

Rural

Urban

Rural

Urban

Rural

Urban

61st

558.78

1052.36

579.17

1104.60

-

-

66th

927.70

1785.81

953.05

1856.01

1053.04

1984.46

Note: Type 2 Schedule was not canvassed in the 61st Round.

 

Besides the average MPCE, the survey results also provide distribution of population over decile classes of MPCE. Thus the first decile class comprises the bottom 10 percent of population in terms of MPCE and the top (10th) decile class comprises the top 10 percent of population. These decile classes for rural and urban domains are separately arrived at for MPCEURP, MPCEMRP and MPCEMMRP. Further, in addition to all-India decile classes, similar State-specific decile classes are also derived and State-wise results are given for these classes in the detailed tables.

             The results released are mainly based on MPCEMMRP. However, relevant indicators based on MPCEURP and MPCEMRP are also given for comparability.  The estimates of per capita monthly expenditure on food, non-food and total expenditure are provided separately for rural and urban sectors at the State level as well as for all-India across decile classes of MPCE. However, break-up of average MPCE by broad item group of food and non-food items, and item-wise estimates of quantity and value of per capita consumption are given at the all-India level.

Some salient findings of the survey relating to monthly per capita expenditure (MPCE) based on modified mixed reference period (MMRP)  are as follows:

 

·        In terms of MMRP estimates, the average MPCE in 2009-10 was estimated as Rs.1053.64 in rural India and Rs.1984.46 in urban India. Thus the per capita expenditure level of the urban population was on the average about 88% higher than that of the rural population.

 

·        The poorest 10% of India’s rural population had an average MPCE of Rs.453. The poorest 10% of the urban population had an average MPCE of Rs.599. The top 10% of the rural population, ranked by MPCE, had an average MPCE of Rs.2517 – about 5.6 times that of the bottom 10%.  The top 10% of the urban population had an average MPCE of Rs.5863 – about 9.8 times that of the bottom 10%. Average MPCEMMRP across decile classes of MPCEMMRP, at  all-India for rural and urban areas during 2009-10 is given in Annexure-I.

 

·         In rural India, half of the population belonged to households with MPCE below Rs.895 (median value) and nearly 40% of the rural population of India had MPCE below Rs.800. About 60% of rural population  had MPCE below Rs.1000. About 10% had MPCE above Rs.1650.

 

·        Correspondingly, in urban areas of India, half the population was living with MPCE below Rs.1500, about 70% of population had MPCE above Rs.1100, nearly 30% had MPCE above Rs.2100, and 20% had MPCE above Rs.2600.

 

·        The share of food in total household expenditure was 57% and 44% in rural and urban India respectively. In rural India, this share in respect of bottom 10% population was 65% and for top 10% population, 46%. In urban India, the share of food was 62% for its bottom 10% population and 31% for top 10 % population.  Average MPCEMMRP and share of food for all India and  major States during 2009-10 is given at Annexure –II.

 

            Trends in percentage composition of MPCEURP since 1987-88 for various items, food total and non-food total for rural and urban areas in India is given at Annexure-III. 

           

            The publication is available on the website (www.mospi.gov.in) of the Ministry of Statistics and Programme Implementation.


Annexure-I

Average MPCEMMRP across decile classes of MPCEMMRP, all-India, 2009-10

Rrural

Urban

Decile class of MPCEMMRP     (Rs.)         

Average MPCEMMRP (Rs.)

Decile class of MPCEMMRP (Rs.)

Average MPCEMMRP (Rs.)

(1)

(2)

(3)

(4)

Less than 537

452.98

Less than 733

599.27

537-631

584.40

733-926

830.96

631-718

675.35

926-1101

1011.84

718-804

760.79

1101-1293

1196.08

804-895

848.07

1293-1502

1397.99

895-1001

944.35

1502-1773

1633.42

1001-1133

1062.93

1773-2097

1930.96

1133-1322

1220.59

2097-2603

2329.87

1322-1653

1470.33

2603-3665

3050.69

1653 and above

2516.69

3665 and above

5863.25

All classes

1053.64

All classes

1984.46

      Note: Each decile class corresponds to 10% of population

Annexure-II

 Average MPCEMMRP and food share: major States, 2009-10

State

rural

urban

average MPCE   (Rs.)

per capita food exp. (Rs.)

% share of food in cons. exp.

average MPCE   (Rs.)

per capita food exp. (Rs.)

% share of food in cons. exp.

(1)

(2)

(3)

(4)

(5)

(6)

(7)

Bihar

780

505

64.7

1238

655

52.9

Chhattisgarh

784

456

58.2

1647

720

43.7

Orissa

818

507

61.9

1548

749

48.4

Jharkhand

825

503

60.9

1584

816

51.5

Uttar Pradesh

899

521

57.9

1574

728

46.3

Madhya Pradesh

903

504

55.8

1666

694

41.7

West Bengal

952

604

63.5

1965

907

46.2

Assam

1003

646

64.4

1755

929

52.9

Karnataka

1020

577

56.5

2053

869

42.3

All-India

1054

600

57.0

1984

881

44.4

Gujarat

1110

640

57.7

1909

882

46.2

Maharashtra

1153

623

54.0

2437

999

41.0

Tamil Nadu

1160

635

54.7

1948

876

45.0

Rajasthan

1179

647

54.8

1663

798

48.0

Andhra Pradesh

1234

717

58.1

2238

1002

44.8

Haryana

1510

815

54.0

2321

1001

43.1

Punjab

1649

795

48.2

2109

933

44.3

Kerala

1835

843

45.9

2413

970

40.2

 


Annexure-III

 Trends in percentage composition of MPCEURP since 1987-88

item group

rural

urban

share in total consumer expenditure in

1987-88

1993-94

1999-2000*

2004-05

2009-10

1987-88

1993-94

1999-2000*

2004-05

2009-10

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10)

(11)

cereals

26.3

24.2

22.2

18.0

15.6

15.0

14.0

12.4

10.1

9.1

gram

0.2

0.2

0.1

0.1

0.2

0.2

0.2

0.1

0.1

0.1

cereal substitutes

0.1

0.1

0.1

0.1

0.1

0.1

0.1

0.0

0.0

0.0

pulses & products

4.0

3.8

3.8

3.1

3.7

3.4

3.0

2.8

2.1

2.7

milk & products

8.6

9.5

8.8

8.5

8.6

9.5

9.8

8.7

7.9

7.8

edible oil

5.0

4.4

3.7

4.6

3.7

5.3

4.4

3.1

3.5

2.6

egg, fish & meat

3.3

3.3

3.3

3.3

3.5

3.6

3.4

3.1

2.7

2.7

vegetables

5.2

6.0

6.2

6.1

6.2

5.3

5.5

5.1

4.5

4.3

fruits & nuts

1.6

1.7

1.7

1.9

1.6

2.5

2.7

2.4

2.2

2.1

sugar

2.9

3.1

2.4

2.4

2.4

2.4

2.4

1.6

1.5

1.5

salt & spices

2.9

2.7

3.0

2.5

2.4

2.3

2.0

2.2

1.7

1.5

beverages, etc.

3.9

4.2

4.2

4.5

5.6

6.8

7.2

6.4

6.2

6.3

food total

64.0

63.2

59.4

55.0

53.6

56.4

54.7

48.1

42.5

40.7

pan, tobacco, intox.

3.2

3.2

2.9

2.7

2.2

2.6

2.3

1.9

1.6

1.2

fuel & light

7.5

7.4

7.5

10.2

9.5

6.8

6.6

7.8

9.9

8.0

clothing & bedding

6.7

5.4

6.9

4.5

4.9

5.9

4.7

6.1

4.0

4.7

footwear

1.0

0.9

1.1

0.8

1.0

1.1

0.9

1.2

0.7

0.9

misc. g. & services

14.5

17.3

19.6

23.4

24.0

23.2

27.5

31.3

37.2

37.8

durable goods

3.1

2.7

2.6

3.4

4.8

4.1

3.3

3.6

4.1

6.7

non-food total

36.0

36.8

40.6

45.0

46.4

43.6

45.3

51.9

57.5

59.3

total expenditure

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

*URP estimates shown except for 1999-2000, for which only MRP estimates are available.

 

***

DNM/DB