According to the latest consumption expenditure survey by the National Statistical Office (NSO), the consumer spending in 2017-18 decreased by 3.7 per cent, for the first time in four decades.
However, the government has said that 2017-18 isn't an appropriate year to be used as a base for the report and keeping in view with the data quality issues, the ministry has decided not to release the Consumer Expenditure Survey results of 2017-18.
The Ministry also stated to examine the feasibility to conduct the next Consumer Expenditure Survey in 2020-21 and 2021-22.
The leaked National Statistical Office (NSO) survey, titled ‘Key Indicators: Household Consumer Expenditure in India’, allegedly shows that the average amount of money spent by an Indian in a month fell by 3.7% to Rs 1,446 in 2017-18 from Rs 1,501 in 2011-12. According to the NSO expenditure survey, that was accessed and reviewed by Business Standard, the dip in consumption expenditure indicates the increasing number of people hit by poverty.
According the report, the NSO survey underlines the fact that there is a shortage of demand in the market, more so in the rural market.
"The average amount of money spent by a person in a month fell from Rs 1,501 in 2011-12 to Rs 1,446 in 2017-18," the report said.
"The figures for monthly per capita consumption expenditure (MPCE) are in real terms, meaning these have been adjusted for inflation, keeping 2009-10 as the base year. In 2011-12, the real MPCE had risen 13 per cent over a period of two years," the report added.
