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Indian poverty levels higher than Pakistan's, says UN report

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How is poverty calculated in India? If it is through BPL ration cards..then its one of the biggest shams in the world.

The Planning Commission of India recently adopted the Tendulkar Committee's methodology for poverty estimate that includes spends on education and health besides food, taking the number of the poor to a whopping 37.2 per cent from 27.5 per cent estimated earlier in 2004.


The earlier definition of India's poverty was based on calorie intake, according to which only 27.5 per cent of people were living below the poverty line as on March 1, 2004 and the number of BPL families were about 6.5 crore (65 million).

As per the methodology suggested by the Tendulkar report, the number would swell to 37.2 per cent of the total population and the number of BPL families to about 8.1 crore (81 million).

The new poverty estimate which would reflect the impact of high growth recorded during the decade, would be available in 2011.

The computation of the number of BPL families at the this stage assumes significance in view of the government's decision to enact the food security law under which 25 kg of foodgrain at Rs 3 per kg would be provided every month to a BPL family.

The EGoM on food, which had cleared the draft of the Food Security Bill last month, was reportedly asked by United Progressive Alliance chairperson Sonia Gandhi to have a re-look at the proposal and consider the possibility of raising the highly subsidised monthly foodgrain allocation to 35 kg from 25 kg and increasing the number of beneficiaries.

Currently, a ration card holder is entitled to 35 kg of food grain every month.

The burden on the central exchequer for implementing the food security law would depend on the number of BPL households and the quantity of subsidised food grain to be given to them.

Ahluwalia had said that food subsidy would rise if there was any increase in the number of BPL families. Food subsidy stood at about Rs 72,000 crore (Rs 720 billion) in last fiscal.

The Planning Commission had been estimating the incidence of poverty at National and State level (both in rural and urban areas) since the Sixth Five Year Plan on the basis of the recommendations of the Task Force (1979) on projections of minimum needs and effective consumption demand.

These estimates have been revised as per the methodology recommended by the Expert Group on Estimation of Proportion and Number of Poor chaired by Prof. DT Lakdawala.

The expert group, while accepting the definition of poverty line used by the Task Force, set out an alternative methodology for estimation of poverty ratios using quinquennial consumer expenditure survey data of the NSSO and Statespecific poverty lines.

As a departure from the methodology followed by the Task Force, the expert group estimated poverty on the basis of consumer expenditure surveys and did not make any adjustments on the basis of National Accounts.

The government finally approved the methodology for estimating poverty with a slight modification of the Expert Group Methodology for updating the urban poverty line on the basis of Consumer Price Index for Industrial Workers alone instead of average of Consumer Price Index of Industrial Workers and Consumer Price Index of Urban Non-manual Employees.
With the poverty rate rising, the Congress-ruled government will now need to spend more money on the poor.

The Indian government spends only 1 per cent of its gross domestic product on healthcare facilities, forcing millions to struggle to get medicines, Oxfam and 62 other agencies said in a report called: Your Money or Your Life last year.

The government has found that 100 million more Indians are actually living below the poverty line than previously thought. Over 370 million Indians -- 40 per cent of the population -- are now eligible for subsidised food supplies.

The re-calculation is based on earnings and the ability of a family to afford one meal a day meeting minimum nutritional needs. India's poor has been hit by the sharp rise in food prices -- the official index indicates that food price inflation has varied between 18 per cent and 20 per cent in recent months.

According to the World Bank, more people are living in extreme poverty in developing countries than previously thought as it adjusted the recognised yardstick for measuring global poverty to $1.25 a day from $1.

The poverty-fighting institution said there were 1.4 billion people -- a quarter of the developing world -- living in extreme poverty on less than $1.25 a day in 2005.

Countries struggle with measuring their poverty populations, a figure that often determines the distribution of public assistance funds to those in need.

The World Bank estimates that 1.4 billion people live below an income of $1.25 per day and that 2.6 billion live below the $2 level worldwide.

Deciding which of these figures represents 'poverty' is up to the individual.

India is an example of the controversial nature of statistical estimates, although it is far from the only example in this controversy.

Poverty measures in the United States are frequently criticised.

India also serves as a good example since changes in the country's poverty definition can add hundreds of millions to the global poverty population.

India's official poverty measure has long been based solely upon the ability to purchase a minimum recommended daily diet of 2,400 kilocalories (kcal) in rural areas where about 70 percent of people live, and 2,100 kcal in urban areas.

Rural areas usually have higher kcal requirements because of greater physical activity among rural residents.

The National Planning Commission, which is responsible for the estimate, currently estimates that a monthly income of about Rs 356 (about $7.74) per person is needed to provide the required diet in rural areas and Rs 539 in urban areas.
Factors such as housing, healthcare and transportation are not taken into account in the poverty estimates.

The estimate is derived from the National Sample Survey, which measures monthly per capita consumer expense every five years.

Last year, the World Bank said there were 1 billion people living under the previous $1 a day poverty mark.

The new figures are likely to put fresh pressure on big donor countries to move more aggressively to combat global poverty, and on countries to introduce more-effective policies to help lift the poorest.

The Bank has estimated that 100 million people could fall into extreme poverty because of soaring food and energy prices.



This means that India now has 100 million more people living below the poverty line than in 2004.

The Planning Commission, which was asked by the Empowered Group of Ministers on Food to give its estimate of below the poverty line families for implementing the proposed food security law, is likely to submit its report to Prime Minister Manmohan Singh soon, sources said.

A Plan panel meeting chaired by deputy chairman Montek Singh Ahluwalia adopted the Suresh Tendulkar Committee report which had suggested inclusion of expenditure on health and education besides food to compute poverty.

National estimates of the percentage of the population falling below the poverty line are based on surveys of sub-groups, with the results weighted by the number of people in each group.

Definitions of poverty vary considerably among nations. For example, rich nations generally employ more generous standards of poverty than poor nations.

What does poverty in India actually mean? It is difficult for those living in an industrialised country to truly appreciate the level of poverty in our country.

In the West, even those living in poverty can live in well-constructed dwellings, with heating, clean running water, indoor toilet facilities, access to health care, and even a vehicle. But such luxuries are a distant dream for India's poor.
 
India's poverty rate increased since 2004


India has made great strides in improving it's poverty rate over the last 10 to 20 years, new statistics released today indicate that improvement has reversed.

37.2 percent of the Indian population live below the poverty line of earning less than a $1.25 a day. That percentage is up from 27.5 percent in 2004. In terms of real people the percentages mean that 100 million more people living in poverty.

Despite continued growth in India's gross domestic product, the growth has not been able to keep up with the rising food prices. Food has increased 17 percent over that same time span.

From the Hindustan Times, this Reuters story breaks down the numbers further.

India now has 100 million more people living below the poverty line than in 2004, according to official estimates released on Sunday.
The poverty rate has risen to 37.2 percent of the population from 27.5 percent in 2004, a change that will require the Congress-ruled government to spend more money on the poor.
India now has 410 million people living below the U.N. estimated poverty line of $1.25 a day, 100 million more than was estimated earlier, officials said.

India calculates how much of its population is living below the poverty line by checking whether families can afford one square meal a day that meets minimum nutrition needs.

It was not immediately clear how much more the federal government would have to spend on the poor, as that would depend on the Food Security Bill when it is presented to the government after the necessary changes, officials say.

India's Planning Commission will meet the food and expenditure secretaries next week to estimate the cost aspects of the bill, government officials said.

A third of the world's poor are believed to be in India, living on less than $2 per day, worse than in many parts of sub-Saharan Africa, experts say.
 
We know- That excuse is only reserved to help delete topics to protect certain countries here.

If you believe the forum is biased why are you on a Pakistani forum in any event do not try to derail this thread which is about the UN report that shows Indian poverty levels higher than Pakistan
 
 
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roofs_slum.jpg

Let me tell you that 99.98% of Karachiwalas cannot Afford a Slum in that Place. :lol:

Match That.
 
No need to start getting angry I am here trying to help Indians. Maybe I am wrong why do you think India has higher poverty rates according to UN stats??

which is based on 2005 Data, pity on you Aryan, you seems struggling as current data came as a shock for you. :rofl::rofl:
 
Let me tell you that 99.98% of Karachiwalas cannot Afford a Slum in that Place. :lol:

Match That.

True. The land on which that slums stand are more valuable than your entire life's earnings.
 

Thats the pic of Dharavi , a massive slum. The pic of it in middle of city is indeed a shame.

But not all hopes are lost.

Decks cleared for Dharavi project


Apr 24, 2012,

MUMBAI: Clearing the decks for the Dharavi redevelopment project to take off, the Bombay high court on Monday dismissed a PIL challenging the Maharashtra government's decision to appoint Mhada to redevelop one part of the sprawling slum. Accepting the state's contention that it was a policy decision, a division bench of Chief Justice Mohit Shah and Justice Nitin Jamdar refused stay the government's decision to hand over sector 5 to Mhada for redevelopment.

"The decision to hand over Sector 5 to Mhada is considered as a public project and after considering its success, the state will be in a position to consider the development of the rest of the area,'' said an affidavit of the housing department submitted to the court by assistant government pleader Milind More.

Dharavi, once considered as Asia's biggest slum is spread over 592 acres of land. Around 377 acres of the slum is being taken up for redevelopment, and there are plans to rehabilitate over 59,000 families n 300 sq ft flats. While the cut-of date for rehabilitation has been set at 2000, earlier this year in January, the state took a decision to provide free houses to post-2000 slum dwellers by regularizing the structure by charging transfer fees.

Work on the Dharavi redevelopment project was initially started in 2005. "The government had decided to rope in private developers to redevelop Dharavi and had invited global tenders. On the eve of opening the commercial bids, the state government has changed its decision and decided to hand over a part of the project to Mhada,'' said the advocate Ashutosh Kulkarni, who was representing the petitioners Dharavi residents Anand Honkeri (57) and Shaukat Khan. (42).

In May 2011, the state scrapped the bidding process for Dharavi's redevelopment and allotted sector 5 to Mhada.

The petitioners opposed Mhada being allowed to construct building to rehabilitate slum dwellers. They alleged that the buildings constructed by Mhada in Dharavi earlier under the central project were now in a dilapidated condition. With the government now changing the norms at this late stage to allow Mhada to be a part of the project, would mean further delays,'' said advocate Kulkarni.

The state said it had the right plans in the interest of slum dwellers. A major part of the land in sector 5 is owned by the state, Mhada and BMC. Further, Mhada has transit camps in the locality to temporarily accommodate families whose structures would be taken up for rehabilitation. Mhada's past experience was also taken into consideration while allotting them Sector 5. Besides, this Mhada's past experience and financial capability was taken into consideration while allotting them Sector 5, said the affidavit.

The state assured the high court that it would ensure quality construction. The state desires that the entire Dharavi area should be developed in a proper, systematic manner and the inhabitants should be given decent livelihood and hygienic conditions for them to reside,'' the affidavit added.

Decks cleared for Dharavi project - Times Of India


I think its the last of the days people can post this picture on "this" forum.





The Slum Rehabilitation Authority’s (SRA) tender inviting bids for the ‘Redevelopment of Dharavi’ project which began on June 1, 2007, has drawn a huge response. Leading international developers from 40 cities across the world including the US-based Hynes, Far East-based Capitaland, Ascendas, Ayala, the UAE-based Emaar, Nakheel and Limitless have started lobbying strongly with local developers such as Hiranandani Constructions, Rahejas, Kalpataru, Lokhandwala Infrastructure, Akruti Nirman to form joint ventures for bidding jointly. By July 15, 2007, international developers will submit their JV patterns to SRA, followed by the final bidding process by July-end 2007.

The key question is: will these international builders in association with local developers be successful in bringing about necessary redevelopment within Dharavi (where 55% of its residents live in the squalid slums and over 57,000 families are squeezed into an area of 535 acres) necessitating structural changes at the entry and exit levels of Dharavi.

According to Ghulam Zia, National Director of Research and Advisory Services, Knight Frank, “Builders will have to plan and develop high-rise buildings within the periphery of Dharavi in a manner that should enhance the value of the real estate property on the outskirts of the Dharavi also. Otherwise, the redevelopment of the Dharavi project will place a burden on existing infrastructure such as railways, water supply, sewage treatment at the entry and exit points.”

Under the Dharavi Redevelopment Project, all the eligible slum dwellers whose names are incorporated in the electoral roll of 1995 and whose structures are existing on site will be rehabilitated free of cost in a self contained pucca tenement with a carpet area of 225 sq ft through the developers to be appointed by the government of Maharashtra. Besides, additional amenities like school, an ITI, colleges, municipal hospitals, police stations and post office will be developed and these facilities will be available to slum dwellers.

Iqbal Chahal, the chief executive officer of Slum Rehabilitation Authority (SRA) who has been recently appointed as vice president and chief executive officer for the Dharavi Redevelopment Project told FE, “For this, the quantum of amenity requirements is now increased to 10% from the earlier limit of 5%.”

Of the 557 acres, the actual redevelopment of Dharavi will span 360 acres, which the state government has divided into five sectors. With the total redevelopment cost of Rs 9,200 crore, Dharavi will be redeveloped as an integrated township with modern amenities that will be financially viable and self-sustaining. It is envisaged to provide the infrastructure along five points dubbed HIKES where H stands for Health: State of Art Health Care Centre; I for Income: Income generation through supporting the craftsmen working in leather, pottery, food processing, garment manufacturing, gems and jewellery industries. K for Knowledge: Through education to achieve 100% literacy, and, S for Socio – cultural development.

Hemant Shah, chairman, Akruti Nirman says, “Looking at the dynamism of this project, the cost of the project may exceed over Rs 20,000 crore over a period of time from the current estimated cost of Rs 9,300 crore. This is because every aspect of the Dharavi Rehabilitation project is positive as it has gained wide publicity in 40 cities across the world whereby many international builders are looking at bidding for this project.”

As per the tender issued by SRA, Dharavi’s proximity to Mumbai’s business district, railways and airport provide the strategic advantage of leveraging Dharavi’s improvement costs with free sale buildable areas. Given an appropriate scale of operation, one large and continuous free sale area can be developed into a high-rise garden city complex, with completely modern infrastructure and amenities for the local residents and all of Mumbai.

Ashutosh Limaye, head—urban development of TrammellCrow Megharaj (now Jones Lang LaSalle Meghraj), opines, “Prior to the Dharavi redevelopment, one of the biggest challenges for the SRA authorities as well as builders will be to eradicate the ongoing illegal commercial activities there.”

Mumbai-based Ali Lokhandwala, director, Lokhandwala Infrastructure who has shown keen interest in bidding for the project cautions builders on the resistance which they will have to face from the slum dwellers since everybody has so far been used to living on the ground level. He adds, “There will be political agenda by politicians who will try to meet during the redevelopment process. In such circumstances, the state government will have to be firm in terms of standing by the redevelopment plan of Dharavi so that judiciary also supports the state government.”

Since the residential buildings will command a selling price of Rs 10,000 per sq ft is similar to the prices on the Western Express Highway, Dharavi will see a population pull from Western and Central suburbs. But redevelopment of Dharavi is being considered good from a urban regeneration point of view since Dharavi has always been a permanent eyesore to foreign travellers flying to India apart from slums adding pollution to the Mithi river.

Niranjan Hiranandani, managing director, Hiranandani Construction says, “With Dharavi getting redeveloped, I feel great. Although the state government is not doing anything to remove the Urban Land Ceiling Act (ULCA), at least an effort is being made by them instead of doing away with the slums in Dharavi.”

Hafeez Contractor—a renowned architect from Mumbai told FE, “The redevelopment of Dharavi seems to be good and I am looking forward to it as there will be many office buildings and residential complexes.”

Although it is understood that the temporary accommodation of slum dwellers will be done at the transit camp by the developers within Dharavi itself, speculations are rife that the same slum dwellers may not go for the upcoming flats. However, Chahal denies any such bottleneck and affirms that the redevelopment project will benefit the slum dwellers and beautify Mumbai.

dharavi2bmakeovergr8.jpg


BJ.jpg

work in progress

1233789.jpg

completed buildings

India.gif
 
which is based on 2005 Data, pity on you Aryan, you seems struggling as current data came as a shock for you. :rofl::rofl:
how will the current data reduce the poverty, few percentage points are not going change the realty whether its India or Pakistan...
 
True. The land on which that slums stand are more valuable than your entire life's earnings.

10x10 Feet Slum is Getting 90 Lakhs and These Greedy Bastards are asking 1 Crore.

Stone's Throw Away is BKC, The Most Sought After Address in India.

Also Bandra West is the Most Premium Residential Address in the Country Kicking the Mumbai Town.

@ Topic.

Even Africans and Poor Chinese Don't have this Worst.

http://www.defence.pk/forums/economy-development/163946-poverty-drives-pakistanis-suicide.html
 
how will the current data reduce the poverty, few percentage points are not going change the realty whether its India or Pakistan...

But why do you think they are higher the poverty rates in India than Pakistan. Why is Pakistan doing better in having lower poverty levels when Indian economy is supposed to be doing well??


Mate the thread is about why Indian poverty levels are higher:


Suicides of Farmers and collapse of Agricultural sector

In the last two years, more than 218,000 people across India committed suicide mainly due to poverty, family feud, strained relationship with loved ones, dowry harassment and health problems. In a research by the Indian National Crime Records Bureau, it was noted that suicide cases in the country were registered at 118,112 and over 100,000, in 2005 and 2006, respectively.

Most of those who committed suicide were farmers, and the victims took their lives either by hanging or consuming poison. Aside from farmers, women also topped the list of people in India with suicidal tendencies. Since 1998 about 25 000 Indian farmers have committed suicide because they could not repay their debts. These debts, however, have largely accumulated because these farmers were severely overcharged by their money-lenders asking for up to 32% of interest.

76 per cent of the nation’s land is belonging to 23 per cent of population. More than 15 million rural households in India are landless. Another 45 million rural families own some land, less than 0.10 acre each, which is hardly enough to make them self- sufficient, let alone generate a profit. 340 million people in India are dependent largely on agricultural wage labour, $1 or less a day.[Rural Development Institute (RDI), Washington]

70 per cent of the Indian population still directly depends on agriculture, but growth in this sector declined from a lackluster 3.8 per cent to an even more anaemic 2.6 per cent last year.
 
No need to start getting angry I am here trying to help Indians. Maybe I am wrong why do you think India has higher poverty rates according to UN stats??

helping India with wrong data...looks like you are helping your frustration...
 
Because Pakistan has only 180 million people having huge unregistered economy very low taxes and yes good charity system.
 
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