Spending on paan, tobacco, intoxicants rises in last 10 yrs

According to a survey, the consumption of paan, tobacco, and other intoxicants has increased over the last 10 years, with people spending a larger portion of their income on these products. Last week’s release of the Household Consumption Expenditure Survey 2022-23 revealed a notable increase in the proportion of household spending allocated to paan, tobacco, […]

by Shubham Kumar Singh - March 4, 2024, 1:41 pm

According to a survey, the consumption of paan, tobacco, and other intoxicants has increased over the last 10 years, with people spending a larger portion of their income on these products.

Last week’s release of the Household Consumption Expenditure Survey 2022-23 revealed a notable increase in the proportion of household spending allocated to paan, tobacco, and intoxicants in both rural and urban areas.

The data showed that the expenditure on these items has increased to 3.79% in 2022-23 in rural areas from 3.21% in 2011-12.

Similarly, in urban areas, the spending grew from 1.61% in 2011-12 to 2.43% in 2022-23.
The proportion of spending on education has reduced to 5.78 per cent in urban areas in 2022-23 from 6.90% in 2011-12.

In rural areas, this proportion has come down to 3.30% in 2022-23 from 3.49% in 2011-12.

The National Sample Survey Office (NSSO), Ministry of Statistics and Programme Implementation, conducted the Household Consumption Expenditure Survey (HCES) from August 2022 to July 2023.

This survey on household consumption expenditure aims at measuring estimates of each household’s Monthly Per Capita Consumption Expenditure (MPCE) and its distribution separately for the rural and urban sectors of the country, for states and Union Territories, and different socio-economic groups.

The survey also stated that spending on beverages and processed food has increased to 10.64% in urban areas in 2022-23 from 8.98% in 2011-12.

In rural areas, it increased from 7.90% in 2011-12 to 9.62% in 2022-23.
The spending on conveyance also rose from 6.52% in 2011-12 to 8.59% in 2022-23 in urban areas.

It also climbed in rural areas from 4.20% in 2011-12 to 7.55% in 2022-23.
According to the study, the MPCE more than doubled during the period from 2011-12 to 2022-23.

The average MPCE at current prices (without imputation) more than doubled to Rs 6,459 in urban areas in 2022-23 from Rs 2,630 in 2011-12.

In rural areas, it jumped to Rs 3,773 in 2022-23 from Rs 1,430 in 2011-12.

As per the study, the average MPCE at 2011-12 prices (without imputation) also increased to Rs 3,510 in 2022-23 from Rs 2,630 in 2011-12 in urban areas.

Similarly, it rose to Rs 2,008 from Rs 1,430 in rural areas.

It showed that the average MPCE also increased (with imputation) to Rs 6,521 in 2022-23 from Rs 2,630 in 2011-12 in urban areas.

Similarly, it rose to Rs 3,860 from Rs 1,430 in rural areas.

The average MPCE at 2011-12 prices (with imputation) increased to Rs 3,544 in 2022-23 from Rs 2,630 in 2011-12 in urban areas.

It increased to Rs 2,054 from Rs 1,430 in rural areas.

The estimates of MPCE are based on the data collected from 2,61,746 households (1,55,014 in rural areas and 1,06,732 in urban areas) in the central sample spread over all states and Union Territories.

In HCES:2022-23, the usual practice of imputation of the value figures for consumption of out of home-grown/home-produced stock and gifts, loans, free collection and goods received in exchange of goods and services etc. has been continued, and accordingly, estimates of MPCE have been generated.