Odisha Rural, Punjab Urban Lead in Household Spending Rise
By Rediff Money Desk, New Delhi Jan 30, 2025 17:37
Odisha saw the highest rise in rural household spending, while Punjab topped the chart in urban areas, according to a government survey. Read more about the key findings.

Photograph: Francis Mascarenhas/Reuters
New Delhi, Jan 30 (PTI) The maximum increase in monthly per capita expenditure (MPCE) in rural areas was recorded in Odisha while Punjab topped the chart in urban areas during August 2023 to July 2024, a government survey stated.
There has been increase in average MPCE for all the 18 major states in rural and urban areas in 2023-24.
In a statement, the statistics ministry said the maximum increase in average MPCE in the rural areas has been observed in Odisha (about 14 per cent from the level of 2022-23) while in urban areas, Punjab witnessed the maximum increase of around 13 per cent from the level of 2022-23.
The least increase in average MPCE has observed in Maharashtra (about 3 per cent) and Karnataka (about 5 per cent) in rural and urban areas, respectively.
It stated that a wide variation in urban-rural difference in average MPCE is observed across the 18 major states in 2022-23 as well as in 2023-24.
Among these major states, there has been a decline in urban-rural gap in 11 states in 2023-24 from the level of 2022-23.
The lowest urban-rural gap in 2023-24 is observed in Kerala (about 18 per cent) and highest in Jharkhand (around 83 per cent).
About the share of various food and non-food item groups in total expenditure, it stated that in 2023-24, in rural India, food accounted for about 47 per cent of the value of the average rural Indian households' consumption.
Among the food items, the contribution of beverages, refreshments and processed food has been the highest (9.84 per cent) followed by milk & milk products (8.44 per cent) and vegetables (6.03 per cent) in rural India.
The contribution of cereals and cereal substitutes in the expenditure has been about 4.99 per cent. Among non-food items, the maximum contribution has been of conveyance (7.59 per cent) followed by medical (6.83 per cent), clothing, bedding & footwear (6.63 per cent) and durable goods (6.48 per cent).
In urban India, the contribution of food in MPCE in 2023-24 has been about 40 per cent and similar to rural India, the contribution of beverages, refreshments and processed food has been the highest (11.09 per cent) in food expenditure followed by milk & milk products (7.19 per cent) and vegetables (4.12 per cent).
The share of non-food items in MPCE in urban India has been around 60 per cent. Conveyance with 8.46 per cent contribution has the largest share in non-food expenditure while other major components of non-food expenditure in urban India are miscellaneous goods & entertainment (6.92 per cent), durable goods (6.87 per cent), and rent (6.58 per cent).
The Gini coefficient, a measure of consumption inequality, has declined in almost for all the major states from the level of 2022-23 in urban as well as rural areas.
The Ministry of Statistics and Programme Implementation (MoSPI) published the summary findings of the second of the two consecutive surveys on household consumption expenditure planned to be conducted during 2022-23 and 2023-24 on December 27, 2024, in the form of a fact sheet.
Prior to this, the detailed report and the unit level data of the survey of 2022-23 was released in June 2024.
The detailed report of the Household Consumption Expenditure Survey: 2023-24 (HCES:2023-24) along with the unit level data is being released now.
There has been increase in average MPCE for all the 18 major states in rural and urban areas in 2023-24.
In a statement, the statistics ministry said the maximum increase in average MPCE in the rural areas has been observed in Odisha (about 14 per cent from the level of 2022-23) while in urban areas, Punjab witnessed the maximum increase of around 13 per cent from the level of 2022-23.
The least increase in average MPCE has observed in Maharashtra (about 3 per cent) and Karnataka (about 5 per cent) in rural and urban areas, respectively.
It stated that a wide variation in urban-rural difference in average MPCE is observed across the 18 major states in 2022-23 as well as in 2023-24.
Among these major states, there has been a decline in urban-rural gap in 11 states in 2023-24 from the level of 2022-23.
The lowest urban-rural gap in 2023-24 is observed in Kerala (about 18 per cent) and highest in Jharkhand (around 83 per cent).
About the share of various food and non-food item groups in total expenditure, it stated that in 2023-24, in rural India, food accounted for about 47 per cent of the value of the average rural Indian households' consumption.
Among the food items, the contribution of beverages, refreshments and processed food has been the highest (9.84 per cent) followed by milk & milk products (8.44 per cent) and vegetables (6.03 per cent) in rural India.
The contribution of cereals and cereal substitutes in the expenditure has been about 4.99 per cent. Among non-food items, the maximum contribution has been of conveyance (7.59 per cent) followed by medical (6.83 per cent), clothing, bedding & footwear (6.63 per cent) and durable goods (6.48 per cent).
In urban India, the contribution of food in MPCE in 2023-24 has been about 40 per cent and similar to rural India, the contribution of beverages, refreshments and processed food has been the highest (11.09 per cent) in food expenditure followed by milk & milk products (7.19 per cent) and vegetables (4.12 per cent).
The share of non-food items in MPCE in urban India has been around 60 per cent. Conveyance with 8.46 per cent contribution has the largest share in non-food expenditure while other major components of non-food expenditure in urban India are miscellaneous goods & entertainment (6.92 per cent), durable goods (6.87 per cent), and rent (6.58 per cent).
The Gini coefficient, a measure of consumption inequality, has declined in almost for all the major states from the level of 2022-23 in urban as well as rural areas.
The Ministry of Statistics and Programme Implementation (MoSPI) published the summary findings of the second of the two consecutive surveys on household consumption expenditure planned to be conducted during 2022-23 and 2023-24 on December 27, 2024, in the form of a fact sheet.
Prior to this, the detailed report and the unit level data of the survey of 2022-23 was released in June 2024.
The detailed report of the Household Consumption Expenditure Survey: 2023-24 (HCES:2023-24) along with the unit level data is being released now.
Source: PTI
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