When comparing rural and urban households, the former spend much more on milk, eggs, pulses, meat, and fish. In general, this may indicate that purchasing more nutrient-dense, high-protein diet is now more affordable. Additionally, they currently spend almost the same amount on beverages and processed foods relative to their urban counterparts.
Some very intriguing data from the Household Consumption and Expenditure Survey 2022–2023 (HCES) will help to narrow the focus of policy making.
In what ways has the Indian meal plate composition evolved over time? More specifically, what are Indians eating more of these days relative to twenty years ago? In what ways has this trend evolved over time? What matters is, what do Indians eat? what are they consuming
A rural household spends Rs 46.38 out of every Rs 100 on food. This dropped from Rs 59.40 in 1999–2000 to Rs 53.11 in 2004–05; it then increased to Rs 56.98 in 2009–10, then dropped again to Rs 52.90 in 2011–12, and finally dropped to Rs 46.38 in 2022–2023.
In general, urban household spending follows similar patterns. They now spend, on average, 3.62 percent on cereals, 0.02 percent on cereal substitutes, 0.18 percent on grams, 1.21 percent on pulses, 0.60 percent on sugar and salt, 7.22 percent on milk and milk products, 3.80 percent on vegetables, 2.50 percent on fresh fruits, 1.31 percent on dry fruits, 3.57 percent on eggs, fish, and meat, 2.37 percent on edible oil, 2.13 percent on spices, and 10.64 percent on drinks and processed foods.
These families spend 39.17% of their total income on food items on average.
When comparing the amount of money spent on food by rural and urban households, a few numbers jump out.
One is that, relative to their urban counterparts, rural households spend much more on milk, pulses, eggs, meat, and fish. In general, this may indicate that it is more affordable to purchase foods that are higher in protein and nutrients.
Two, compared to their urban counterparts, households in rural areas now spend almost as much on beverages and processed foods. In a village, a household spends almost a tenth (9.62 percent) of its total expenditures on these kinds of things. From 4.91 percent in 1999–2000 and 7.90 percent in 2011–2012, this has increased dramatically. This may also indicate improved affordability.
Their expenditures, which have increased from 6.35 percent in 1999-2000 to 8.98 percent in 2011-12, are only a small percentage point less than those of urban households (10.64 percent).
In rural India, the average estimated MPCE for 2022–2023 was Rs 3,773, while in urban India, it was Rs 6,459. The average MPCE for the lowest 5% of rural residents was Rs 1,373, compared to Rs 2,001 for the same group in urban areas. The average income for the top 5 percent of both rural and urban residents was Rs 10,501 and Rs 20,824, respectively.
India’s monthly per capita consumption expenditure increased by 33–40 percent between August and July of 2022–23 and July and August of 2011–12, as reported by the Household Consumer Expenditure Survey, which was published on February 24.
After accounting for inflation, the monthly per capita consumption in urban areas increased by 33% to Rs 3,510, while it was 40% higher in rural areas at Rs 2,008. This indicates a 3.1 percent average annual growth in rural per capita consumption and a 2.7 percent average annual growth in urban per capita consumption. India’s real GDP increased by 5.7% annually on average during that time.
2.62 lakh households were included in the most recent survey; 1.55 lakh were in rural areas and 1.07 lakh were in urban areas. Three categories were established for the consumption basket: food items, consumables and services, and durable goods.
The number of covered items increased to 405, from 347 in the 2011–12 survey. There are 299 items in the Consumer Price Index basket as of right now. The survey will be used to update the weights of the goods and services in the basket that will be used to measure prices, in addition to updating the base year of the CPI series.