1. Monthly Per Capita Expenditure (MPCE) Trends
- Rural: ₹4,122 (without free welfare items) → ₹4,247 (with free items)
- Urban: ₹6,996 (without free welfare items) → ₹7,078 (with free items)
- Nominal Growth (2022-23 to 2023-24):
- Rural: +9%
- Urban: +8%
2. Urban-Rural Consumption Gap Narrows
- Declined to 70% (2023-24) from 84% (2011-12), showing faster rural consumption growth.
3. Bottom 5-10% See Highest MPCE Growth
- Largest expenditure increase among poorest households in both rural & urban areas.
4. Shift in Spending Patterns
- Non-food items dominate:
- Rural: 53% of MPCE
- Urban: 60% of MPCE
- Top Food Spend: Beverages, processed foods.
- Top Non-Food Spend:
- Conveyance, clothing, footwear, entertainment, durables.
- Urban-specific: Rent (7% of non-food spend).
5. Reduced Inequality (Gini Coefficient Decline)
- Rural: 0.266 (2022-23) → 0.237 (2023-24)
- Urban: 0.314 (2022-23) → 0.284 (2023-24)
Key Takeaways
- Rural consumption catching up with urban areas.
- Welfare schemes (free items) boost effective MPCE.
- Poor benefit most—bottom 5-10% see highest growth.
- Non-food spending rises, reflecting lifestyle changes.
- Inequality declines in both rural & urban India.
“Rural demand revival + inclusive growth mark India’s consumption story.”
(Source: HCES 2023-24, MoSPI)
