The Household Consumption Survey expenditure figures in the country are shocking in many ways. These figures show that whether it is a city or a village, people’s expenditure on food items is decreasing and that on non-food items is increasing. A large part of people’s consumer spending is going to pay for transportation, rent, fuel. Along with this, expenditure on education and health is also increasing.
According to the recently released report of the National Sample Survey, per capita monthly consumer expenditure in rural areas is Rs 3,773 and in urban areas is Rs 6,459, but in rural areas, 54 per cent of the consumer expenditure is spent on non-food items and 46 per cent on non-food items. . Expenditure on non-food items in urban areas is much higher at 61 percent. Only 39 percent people are spending on food items in cities.
Expenditure on food items decreased the most in rural areas
According to the report, it has been a consistent trend observed during the last few surveys that expenditure on non-edible items is continuously increasing. NASO’s survey conducted during 1999-2000 had found that in rural India, people were spending 59 percent on purchasing food items, which has now come down to 46 percent. That is, a 13 percent decline in food expenditure has been seen in rural areas in two decades. Similarly, during this period, consumer expenditure on non-food items in rural India has increased from 41 percent to 54 percent.
Expenses on rent payment in urban areas
Talking about urban areas, the expenditure on food was 48 percent during 1999-200, which has now come down to 39 percent. There has been a decline of nine percent. Similarly, expenditure on non-food items has increased from 52 percent to 61 percent. Expenditure on consumer services and purchase of durable goods is increasing in both villages and cities. Due to rising house rents in urban areas, people in urban areas have to spend a large portion of their money on rent payments.
Dependence on private sector increased for education and health
Analysis of the data makes it clear that during this period there has been an increase in expenditure on transport and fuel in urban and rural areas. Expenditure on education and health has also increased. While house rent has emerged as a major expenditure in cities, expenditure on purchase of clothes in rural areas is included in the top seven expenses. The reason for increase in expenditure on transport and fuel is due to people purchasing private vehicles, because public transport system is not good in most parts of the country. Secondly, there is increasing dependence on the private sector for education and health.
Monthly consumer expenditure per capita (top non-food items)
urban area
traffic rs 555
Durable goods Rs 463
Fare Rs 423
Fuel-Electricity Rs 404
Consumer Services Rs 382
Health Rs 382
Education Rs 374
countryside
traffic 285 rupees
Health Rs 269
Durable goods Rs 260
Fuel-Electricity Rs 251
clothes 198 rupees
Consumer Services Rs 191
Education Rs 125