New Delhi [India], October 31 (ANI): A report by SBI Research indicates that there is a significant shift in Indian household consumption towards a more diverse range of products and services, moving away from just food essentials. This evolution in spending habits is driven by changing dietary preferences and household structures.
According to the report titled ‘India’s Consumption Journey’, food expenditures currently make up approximately 32.82 percent of total household consumption, while non-food items and services account for nearly 67 percent. This shift suggests a trend towards a more varied consumption basket.
The findings are based on the Household Consumption Expenditure Survey (HCES) 2023-24 conducted by the National Statistics Office (NSO), which encompassed data from 261,953 households in both rural and urban areas across India.
There is a noted increase in the preference for protein-rich foods, as well as fruits and vegetables, among households from all income brackets, although regional disparities are evident. For instance, Sikkim has the highest average household spending on selected protein-rich food items at Rs 1,776, followed closely by Goa at Rs 1,711 and Haryana at Rs 1,649. Conversely, Odisha shows the lowest at Rs 656, with West Bengal at Rs 745 and Chhattisgarh at Rs 729.
The report also points out that demographic factors influence food preferences within households. Families with more elderly members tend to spend more on milk, fruits, and vegetables, whereas those with a larger number of children allocate more of their budget to milk products and packaged foods.
Geographical differences further illustrate the variations in food consumption. For example, in Haryana, milk and its products represent 28.6 percent of food expenditure, while cereals account for 38.6 percent in Jharkhand. Chhattisgarh showed the largest expenditure shares for pulses at 20.5 percent and vegetables at 14.3 percent.
Interestingly, the report reveals that food consumption patterns can be quite diverse even among households with similar spending levels, particularly in the categories of cereals and pulses.
SBI Research concludes that the evidence points to a gradual shift towards more balanced dietary habits. Nonetheless, significant disparities in protein consumption persist across different states and between genders. The findings suggest that the consumption landscape in India is increasingly being influenced by evolving household needs, demographic changes, and a broadening of spending beyond basic food items.
