ECONOMIC TRENDS

RURAL AREAS

Group I.

This group consists of big landlords who possess vast area of land cultivated either by themselves or with hired labour. Ten representative families were surveyed. Generally, a household consisted of three adults and three minors. However, most of them employed domestic servants who were considered as their family members.

The annual income accrued mainly from agricultural products. In ranged from Rs. 3,000 and above. In exceptional cases, supplementary income from business, poultry, dairy, etc was derived.

Unlike the higher income group in urban areas, the consumption pattern of this group was simple. In fact, people from this group had not to buy most of the items in the food group as they were produced on their own land. Moreover, consumption pattern of this group was marked by the absence of luxurious items like costly furniture, different varieties of clothes, well equipped residence, motor cars, motor cycles, etc.

As mentioned above, for foodgrais, milk, fuel, and vegetables most of the farmers depended upon their ownfarms and cattle.  However, their monthly expenditure was allotted to different items as follows: cereals Rs. 37.35; vegetables Rs. 1.14; lighting Rs. 3.14, oils Rs. 3.35, domestic Rs. 6.36, milk Rs. 8.42; the rest was spent on other non-food items such as entertainment, education, religion, rent, clothing, etc.

The household equipment of the families surveyed composed of brass and copper utensils, and bedding consisted of rugs, chaddars, mattresses and pillow.

Almost all families had gold and silver ornaments, costly clothing, viz., saris, paithanis, etc.

As compared to their income, teir requirements were limited which enabled them to save.  Out of tem families surveyed five families had savings worth Rs. 13,060 representing actual cash and paper securities valued at Rs. 12,000 respectively.

In respect of literacy, every family had on or two educated persons. A few had sent their wards to distant places in the country for education.

Group II.

Medium agriculturists, traders and teachers in villages, tenant cultivators and artisans constituted the middle income group in rural areas. Their annual income ranged between Rs. 1,200 and Rs. 3,000. Though the main source of income was land, in many cases it was supplemented by subsidiary income from business, trade, service, etc. Out of 19 families surveyed, ten had subsidiary income. Fourteen households possessed land of their own cultivated by themselves.

The consumption pattern was the same as that of the first group, with a slightly less percentage of expenditure on some of the items of daily requirements. Half of the total expenditure was on food group, the percentage being 26.60, 6.60, 3.89, 6.32, 4.87 on cereals, oils, vegetables, milk and other items, respectively. Education and entertainment accounted for 10.18 and 7.17 per cent, respectively. The rest was allotted to other items in non-food group, viz., rent, clothing. religion etc.

Being mainly agriculturists, the households found themselves partially self-sufficient in respect of foodgrains.

This group seemed to be more conscious about the importance of education and hence had a high percentage of literacy. The families in this group spent, the survey revealed, 10.5 per cent of their monthly income on education. Their expenditure on entertainment was also high as compared to the other two groups in rural area.

After making necessary allowances for Their daily requirements, a fraction of income was saved. Of the families surveyed four had savings in cash to the tune of Rs. 2,300 and eight families had invested Rs. 2,650 in National Savings Certificates and prize bonds. Seven families had incurred debt of Rs. 15,500 mainly for the purpose of investment in land and business.

Group III.

This group includes poor peasants, village servants, herdsmen, artisans and landless labourers. The total annual income of a family in this group from all sources ranged between Rs. 500 and Rs. 1,200.

Out of 124 families surveyed very few had an annual income of Rs. 1,200. Low paid employment, meagre employment opportunities, insecurity of employment and the presence of under-employment had their impact on the income of the people from this class. The land they possessed was too small to be called an economic holding. The income from land was too meagre even for an average subsistence level.

The average number of members in the family of this group was six including two minors. On an average there were two earners in each family. In addition to the daily wage they earned they possessed land measuring about two acres.

Their earnings were insufficient to meet their daily requirements. High prices and scarcity of articles of daily consumption further increased their difficulties.

There is no set pattern of consumption of this group. Almost 75 per cent. of their monthly expenditure was on cereals, vegetables, oil and milk, the rest being on rent, clothes, etc. In the absence of sufficient income, they were comnelled to forego certain necessities.

Of the 124 families surveyed only ten families saved a part of their income. Their savings were Rs. 5.400, (in. cash and in paper securities). The number of families which incurred debt was seventy-six, and the total debt amounted to Rs,. 63,675. Apart from some exceptional cases, no family possessed any gold or silver ornaments and other costly items like furniture, radio-sets and cots. The household equipment consisted of earthen wares, a few aluminium, brass and copper utensils.

To them expenditure on entertainment or costly clothes was a luxury and it was incurred on very rare occasions.

Very few families had educated members and the level of literacy was very low. Government, with its free education schemes has come forward to help this class to get education and it is expected that the educational standard of this class would improve in the future.

It is difficult to draw definite conclusions from the foregoing analysis. It can, however, be indicated, with the help of the above analysis, that the pattern of income and expenditure of the community as a whole has undergone a rapid and drastic change in recent years. In fact, it is constantly. being affected by the social, economic and political forces as well as by technical advance and emergence of new inventions in the field of science.

Nation-wide programme of economic development undertaken by our government is aimed to raise the per capita income and living standard of the common man. The various economic activities in the field of agriculture, industry, trade and commerce, transport, etc. and inauguration of community development programme for rural development and the lead taken by the government in promoting social welfare, both through statutory measures and through liberal grants to voluntary agencies, have undoubtedly helped in raising the living standards of the people.

The programme for economic development has created new employment opportunities thereby increasing the. money income of the people. A rise in money income naturally encouraged people to shift from low standards to higher ones. Rare items of consumption became daily items of use.

Moreover spread of education has brought about a total change in the outlook of the people. New ideas of life are making their headway which has certainly been reflected in their manners, customs and the way of living.

As stated above, it is very difficult to say whether people were better off or worse off in the past than what they are today. However it cannot be denied that there has been a positive change in the pattern of income and expenditure of the people in Sangli district. Items like motor-cycles, cycles, radios, furniture which were to be seen rarely have become articles of daily use. Advent of electricity, which was a luxury once, has transformed the map of rural life. Cultivation of land with modern methods of production has considerably helped to increase money income. Sangli district has made a break-through in industrial development opportunities. Nearness of the Koyna project has widened the scope of economic development of the district. All this points to a relative change in the concept of the standard of living.

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