Rural India spends Rs 559 on monthly consumption, urban Rs 1052

New Delhi, Dec 28 (UNI) The average monthly per capita consumer expenditure in rural India is Rs 559 and Rs 1,052 in urban India at 2004-05 prices, notwithstanding that the cost of living is higher in urban areas, the latest National Sample Survey Organisation's (NSSO) survey shows.

Out of every rupee spent in 2004-05 by the average urban Indian on consumption, 43 paise was on food. Of this, 10 paise went on cereals and cereal substitutes, eight paise on milk and milk products, six paise on beverages, refreshments and processed food and four paise on vegetables, the survey found.

His rural counterpart spent more -- 55 paise -- on food, including on vegetables -- six paise compared to the urbanite's four paise. That apart, 18 paise was allocated on cereals and cereal substitutes, eight paise on milk and milk products, five paise on edible oil, five paise on sugar, salt and spices and five paise on beverages, refreshments and processed food.

These were the findings of the latest report on "Level and Pattern of Consumer Expenditure, 2004-05" carried out by the NSSO in the Ministry of Statistics and Programme Implementation.

The report, which is first in a series of seven reports to be brought out on the basis of the survey, presents the size and distributions of households and persons over different ranges of Monthly Per Capita Expenditure (or different "MPCE" classes).

In both rural and urban India, fuel and light took up 10 per cent of total consumer expenditure while clothing, bedding and footwear accounted for five per cent, the report said.

Rural India paid more for medical expenses than urban India which formed seven per cent of total consumer expenditure in rural India and five per cent in urban areas.

Educational expenses constituted three per cent of total consumer expenditure in rural India and five per cent in urban India.

According to the survey, expenses on conveyance worked out to four per cent in rural India and five per cent in urban areas.

The bottom five per cent of the rural population belonged to households with monthly per capita consumer expenditure (MPCE) of up to Rs 235 in 2004-05 and spent less than eight rupees a day per head on consumption.

Another five per cent of the rural population had MPCE of Rs 235-270, consuming eight to nine rupees per head daily. About five per cent of the rural population had MPCE of Rs 1,155 or more and another five per cent had MPCE between Rs 890 and Rs 1,155.

In urban areas, the poorest five per cent of the population belonged to households with monthly consumer expenditure per person of upto Rs 335, spending Rs 11 daily on consumption, the survey revealed.

UNI SD SRS KN1642