CHAPTER-2

POVERTY LINE IN DELHI

Poverty is a situation where the individual or communities lack the resources,

ability and environment to meet the basic needs of life such as safe drinking water,
sanitation, housing, health infrastructure. Poverty reduction has been an important goal
of development policy. To achieve inclusive development, several poverty-alleviation
and employment-generation programmes are being implemented by GoI as well as
GNCTD. Poverty is one of the issues, attracting the attention of sociologists,
economists, governments, civil society organizations and almost all other organizations
related to human welfare and development. It indicates a status wherein a person fails
to maintain a living standard adequate for a comfortable lifestyle.

2.1 PERSONS BELOW THE POVERTY LINE IN DELHI- URBAN AND RURAL
(Number in Lakhs)
Sl. Years Urban Rural Total
No. Number Number Number Per Cent
1. 1973-74 21.78 1.06 22.84 49.61
2. 1977-78 16.81 1.35 18.16 33.23
3. 1983 17.95 0.44 18.39 26.22
4. 1987-88 10.15 0.10 10.25 12.41
5. 1993-94 15.32 0.19 15.51 14.69
6. 1999-2000 11.42 0.07 11.49 8.23
7. 2004-2005 18.3 1.1 19.4 13.0
8. 2009-10 22.9 0.30 23.3 14.2
9. 2011-12 16.46 0.50 16.96 9.91

Source:- Delhi Statistical Handbook, 2014.

2.2 PERSONS BELOW THE POVERTY LINE IN DELHI AND INDIA

(per cent)
Sl. No. Years India Delhi
1. 1973-74 54.88 49.61
2. 1977-78 51.32 33.23
3. 1983 44.48 26.22
4. 1987-88 38.26 12.41
5. 1993-94 35.97 14.69

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BASELINE DATA FOR DELHI VISION -2030
 Sl. No. Years India Delhi
6. 1999-2000 26.10 8.23
7. 2004-2005 37.2 13.0
8 2009-2010 29.8 14.2
9 2011-2012 21.92 9.91

Source: - Delhi Statistical Handbook, 2014.

2.3 Poverty Gap Ratio (PGR)

Poverty gap is the mean shortfall of the total population from the poverty line (counting
the non-poor as having zero shortfall), expresses as a percentage of the poverty line.
This measure reflects the depth of poverty as well as its incidence. It reflects the
degree to which mean consumption of the poor falls short of the established poverty
line, indication the depth of poverty. the PGR helps to provided an overall assessment
of a region’s progress in poverty elevation and the evolution of specific public policies
of private initiative . Between 2004-2005 and 2011-12, the PGR has also recorded a
decline.
Poverty Gap Ratio for 2004-05 and 2011-12
(MRP Consumption Distribution)
Region Rural Urban
2004-05 2011-12 2004-05 2011-12
Delhi 1.92 1.79 1.99 1.62
All India 9.63 5.05 6.078 2.7

Source –Millennium Development Goals, Delhi State Report-2014

2.4 POVERTY LINE & POVERTY HEAD COUNT RATIO IN DELHI – 1993-94 &
2004-05
Sl. Year Poverty Line (₹) Poverty Head Count Ratio (%)
No. Urban Rural Urban Rural Total
1. 2004-05 642.47 541.39 12.9 15.6 13.1
2. 2009-10 1040.30 747.80 14.4 7.7 14.2
3. 2011-12 1145 1134 12.92 9.84 9.91

Source: - Planning Commission..

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BASELINE DATA FOR DELHI VISION -2030
2.5 SECC 2011 Findings for Rural Households

2.5.1 Employment and Income Characteristics of Rural households

Delhi All India

Total % Total %
SN Category
(in (in
lakhs) lakhs)
1 No. of total Households 10.51 1797.87
2 Number of Households with 6.64 63.18 173.41 9.65
Salaried job
I Government Sector 0.98 9.34 89.94 5.00
ii Public Sector 0.86 8.23 20.16 1.12
iii Private Sector 4.79 45.56 64.15 3.57
3 Number of Households Paying 1.86 17.7 82.21 4.57
Income Tax or Professional Tax
4 Number of Households 2.05 19.51 48.97 2.72
Own/Operate an Enterprise
registered with the Government

2.5.2 Number of Households having Monthly Income of highest earning

household member in different income bracket as under:

Delhi All India

S Income per
N month No. of % of No. of % of
Households Households Households Households

i Less than ₹ 5,000 3.08 29.26 1339.85 74.52

ii Between ₹ 5,000 4.44 42.24 308.95 17.18

and ₹ 10,000

iii ₹ 10,000 or more 3.00 28.54 148.28 8.25

No. of total 10.51 1797.87

Households

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BASELINE DATA FOR DELHI VISION -2030
 2.6 STATE DOMESTIC PRODUCT

2.6.1 State Domestic Product (SDP), is the total value of goods and services
produced during any financial year within the geographical boundaries of a state. Also
called the state income, SDP is always calculated or estimated in monetary terms, and
is instrumental in the evaluation of per capita income. It serves as an indicator for
measuring economic prosperity of the State and to study the structural changes taking
place in the economy. SDP estimates over a period of time reveal the extent and
direction of the changes in the level of economic development. Sectoral Composition of
SDP gives an idea about the relative position of different sectors in the economy over a
period of time, which not only indicates the real structural changes taking place in the
economic, but also facilitates in formulation of the plans for overall economic
development. The major share of income of National Capital Territory of Delhi is from
the service sector which is treated as the growth engine for fast developing states in
the Indian Union. The contribution of NCT of Delhi in GDP at current prices is 3.95
percent and it ranks 11 among States and UTs at current prices during 2014-15.
2.6.2 The percentage growth of GSDP of Delhi during the last five years both
at current and 2011-12 prices is presented below-

GROWTH OF GSDP OF DELHI – CURRENT AND CONSTANT PRICES

(Base Year 2011-12)

AT CURRENT PRICES
2011-12 2012-13 2013-14 2014-15 2015-16
Sector ₹ In ₹ In ₹ In ₹ In ₹ In
% % % % %
crore crore crore crore crore
Primary 10589 3.1 10089 2.6 10289 2.3 10525 2.1 10583 1.9
Secondary 40076 11.7 48914 12.5 52389 11.7 59745 12.1 74125 13.3
Tertiary 253006 73.7 283997 72.6 317785 71.1 350278 70.8 393803 70.5
GSDP 343260 100.0 391071 100.0 446807 100.0 494460 100 558745 100.0

AT CONSTANT PRICE
2011-12 2012-13 2013-14 2014-15 2015-16
Sector ₹ In ₹ In ₹ In ₹ In ₹ In
% % % % %
crore crore crore crore crore
Primary 10589 3.1 9134 2.5 8485 2.2 10229 2.4 10349 2.3
Secondary 40076 11.7 45724 12.5 46602 12.0 51388 12.2 61798 13.6
Tertiary 253006 73.7 266109 72.9 277793 71.3 298258 70.9 320545 70.3
GSDP 343260 100.0 365264 100.0 389677 100.0 420902 100.0 456020 100.0

Per capita Income (₹ In lakh)

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16

Per Capita
GSDP (in ₹) 1.26 1.45 1.85 2.06 2.32 2.52 2.80

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BASELINE DATA FOR DELHI VISION -2030
2.6.3 The economic activity wise GSDP of NCT of Delhi at current prices
(2011-12 series) is as under:-
GROSS STATE VALUE ADDED BY ECONOMIC ACTIVITY
AT CURRENT PRICES (₹ In Lakh)
S. N. Item 2011-12 2012-13 2013-14 2014-15 2015-16
Agriculture, forestry and
1. 286065 262328 281919 305589 311220
fishing
1.1 Crops 65909 72704 82384 103669 108294
1.2 Livestock 218323 187719 197545 199855 200771
1.3 Forestry and logging 1006 1064 1042 1089 1138
1.4 Fishing and aquaculture 826 840 947 977 1017
2. Mining and quarrying 772879 746562 746997 746907 747116
Primary 1058944 1008890 1028917 1052496 1058337

3. Manufacturing 1890728 2334979 2469359 3053358 4213185

Electricity, gas, water
4. supply & other utility 448697 767488 945871 1046714 1278346
services
5. Construction 1668153 1788941 1823702 1874419 1920948
Secondary 4007578 4891407 5238932 5974491 7412478
Trade, repair, hotels and
6. 4212068 4905111 5693816 6415275 7161577
restaurants
6.1 Trade & repair services 3806351 4458194 5209633 5887789 6594991
6.2 Hotels & restaurants 405718 446917 484183 527486 566586
Transport, storage,
communication &
7. 3929455 4534332 4874851 5223525 5579816
services related to
broadcasting
7.1 Railways 190731 207226 258697 299078 346946
7.2 Road transport 664297 718643 789500 847819 909239
7.3 Water transport 546 597 557 578 583
7.4 Air transport 98961 178752 141793 182703 204140
Services incidental to
7.5 2368549 2748292 2871754 2983254 3105347
transport
7.6 Storage 21247 24271 26907 29866 32669
Communication & services
7.7 585124 656551 785643 880228 980892
related to broadcasting
8. Financial services 5388295 5992774 6428045 6850078 7369953
Real estate, ownership of
9. dwelling & professional 7248036 8242111 9514545 10765309 12835881
services
10. Public administration 1964577 1811887 1885876 2014085 2137075
11. Other services 2558188 2913523 3381401 3759575 4295959
Tertiary 25300619 28399739 31778533 35027848 39380261
TOTAL GSVA at basic
12. 30367141 34300036 38046382 42054834 47851076
prices
13. Taxes on Products 4348300 5318800 7126000 7809400 8492800
14. Subsidies on products 389400 511700 491700 418200 469350
Gross State Domestic
15. 34326041 39107136 44680682 49446034 55874526
Product

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BASELINE DATA FOR DELHI VISION -2030