GROUP C : Post-Independence Estimation of Poverty in India

Poverty Line Estimation or calculating the number of poor in India was done by several committees on basis of calorific consumption or per capita expenditure.

VN Dandekar and N Rath

They made a systematic study of poverty in 1971. The previous estimation has stressed subsistence living as a criterion of the poverty line, they suggested that the poverty line’s criteria must be based on expenditure that would provide 2250 calories per day in both rural and urban areas.

Alagh Committee ( 1979)

It constructed a poverty line for rural and urban areas on the basis of nutritional requirements and related consumption expenditure. The estimates in the ensuing years would be adjusted taking into account the price level of inflation.

Lakdawala Committee (1993)

The Lakdawala Committee is based on assumption that the basket used to calculate the Consumer Price Index- Industrial Workers (CPI-IW) AND the Consumer Price Index- Agricultural Labourers ( CPI-AL) reflected the consumption pattern of the poor. The Lakdawla Committee report submitted in 1993 suggested and recommended:

•  Poverty Line Approach State-Specific Poverty Lines  Expert Group recommended only NSS data should be relied on.

Tendulkar Committee (2009)

This Committee by Suresh Tendulkar gave the following recommendation: 

• A shift from calorie consumption-based poverty estimation Uniform Poverty Line Basket (PLB) across rural and urban areas. Changes in Price adjustment procedure. Incorporation of private expenditure on health and education while estimating poverty They used the Mixed Reference Period.

C Rangarajan Committee (2012)

A new panel was created by Planning Commission that would estimate poverty:

• Provide an alternate method to identify poverty levels  Examine divergences of data provided by NSSO and National aggregates Review International poverty estimation methods Recommend how these methods can be linked to eligibility for various poverty elimination schemes.