Skip to main content

Gujarat slips in poverty reduction rank from 9th to 11th in 3 yrs: Planning Commission

By Rajiv Shah
Latest Planning Commission estimates suggest a major setback to Gujarat as far as poverty reduction is concerned. If between 2004 and 2010, Gujarat witnessed 8.6 per cent reduction in poverty, which was higher than the national average of 7.4 per cent, between 2010 and 2012 not only the percentage of poverty reduction come down to 6.4 per cent, it was below the national average of 7.9 per cent, too. Worse, if during 2004-10 Gujarat’s poverty reduction rate was higher than in as many as eight states, the number of states which saw a higher poverty reduction in the 2010-12 phase went up to 10 out of 20 major states.
The states which have witnessed a higher reduction in the rate of poverty during 2010-12 than Gujarat are Andhra Pradesh (11.9 per cent), Chhattisgarh (8.8 per cent), Bihar (19.8 per cent), Haryana (8.9 per cent), Maharashtra (7.2 per cent), Punjab (7.6 per cent), Rajasthan (10.1 per cent), Uttar Pradesh (8.3 per cent), Uttarakhand (6.7 per cent) and West Bengal (6.7 per cent).
In fact, the trend of Gujarat failing to cope up as fast as other states in poverty reduction was there in the whole of last decade, and it has now continued in the new decade, too. Observing the trend of the last decade, Prof Indira Hirway, a senior economist, noted in a study she had carried out a year ago, “It is important to note however, that though the rate of decline in poverty during 2004-05 – 2009-10 in Gujarat was 8.6 percentage point, the state ranked 9th among the major 20 states in India in reduction of poverty. The relatively slow growing states like Uttarakhand, Tamil Nadu, Orissa, Madhya Pradesh, Karnataka, Himachal Pradesh etc. have experienced much higher decline in poverty during this period.”
She added, “In fact, Gujarat, which stood 7th in the incidence of poverty among the 20 states in 1993-94, maintained its 7th rank in 2004-05 but dropped to 9th rank in 2009-10. In other words, in spite of being the fastest growing state during 2004-05 – 2009-10, Gujarat slipped in its performance in poverty reduction. This shows that the growth alone does not count for poverty reduction, and something more is needed to translate growth into poverty reduction.”
Prof Hirway wonders, “The question is – can we reduce poverty faster? With more than 10 percent (10.27) rate of growth of SDP per year Gujarat state has achieved 1.7 percentage point decline in poverty. This implies that the elasticity of poverty reduction to growth is very low, 0.17. At the all India level this elasticity is 0.27. Is it possible to go faster when a little less than one fourth of the population is under poverty?”
The latest Planning Commission data have been culled out of the National Sample Survey Organisation’s new report, put out this year, and is based on household consumer expenditure mega-survey of different sections of society, involving the entire country.
No doubt, the percentage of persons below the poverty line in Gujarat remains lower than the national average of 21.9 per cent, standing at 16.6 per cent in 2012, down from 23 per cent in 2010 (when the national average was 29.8 per cent), yet the fact is, the proportion of poverty reduction has gone down, which observers believe is a matter of concern.

Comments

TRENDING

Countrywide protest by gig workers puts spotlight on algorithmic exploitation

By A Representative   A nationwide protest led largely by women gig and platform workers was held across several states on February 3, with the Gig & Platform Service Workers Union (GIPSWU) claiming the mobilisation as a success and a strong assertion of workers’ rights against what it described as widespread exploitation by digital platform companies. Demonstrations took place in Delhi, Rajasthan, Karnataka, Maharashtra and other states, covering major cities including New Delhi, Jaipur, Bengaluru and Mumbai, along with multiple districts across the country.

CFA flags ‘welfare retreat’ in Union Budget 2026–27, alleges corporate bias

By Jag Jivan  The advocacy group Centre for Financial Accountability (CFA) has sharply criticised the Union Budget 2026–27 , calling it a “budget sans kartavya” that weakens public welfare while favouring private corporations, even as inequality, climate risks and social distress deepen across the country.

Swami Vivekananda's views on caste and sexuality were 'painfully' regressive

By Bhaskar Sur* Swami Vivekananda now belongs more to the modern Hindu mythology than reality. It makes a daunting job to discover the real human being who knew unemployment, humiliation of losing a teaching job for 'incompetence', longed in vain for the bliss of a happy conjugal life only to suffer the consequent frustration.

'Gandhi Talks': Cinema that dares to be quiet, where music, image and silence speak

By Vikas Meshram   In today’s digital age, where reels and short videos dominate attention spans, watching a silent film for over two hours feels almost like an act of resistance. Directed by Kishor Pandurang Belekar, “Gandhi Talks” is a bold cinematic experiment that turns silence into language and wordlessness into a powerful storytelling device. The film is not mere entertainment; it is an experience that pushes the viewer inward, compelling reflection on life, values, and society.

From water scarcity to sustainable livelihoods: The turnaround of Salaiya Maaf

By Bharat Dogra   We were sitting at a central place in Salaiya Maaf village, located in Mahoba district of Uttar Pradesh, for a group discussion when an elderly woman said in an emotional voice, “It is so good that you people came. Land on which nothing grew can now produce good crops.”

The Epstein shock, global power games and India’s foreign policy dilemma

By Vidya Bhushan Rawat*  The “Epstein” tsunami has jolted establishments everywhere. Politicians, bureaucrats, billionaires, celebrities, intellectuals, academics, religious gurus, and preachers—all appear to be under scrutiny, even dismantled. At first glance, it may seem like a story cutting across left, right, centre, Democrats, Republicans, socialists, capitalists—every label one can think of. Much of it, of course, is gossip, as people seek solace in the possible inclusion of names they personally dislike. 

Michael Parenti: Scholar known for critiques of capitalism and U.S. foreign policy

By Harsh Thakor*  Michael Parenti, an American political scientist, historian, and author known for his Marxist and anti-imperialist perspectives, died on January 24 at the age of 92. Over several decades, Parenti wrote and lectured extensively on issues of capitalism, imperialism, democracy, media, and U.S. foreign policy. His work consistently challenged dominant political and economic narratives, particularly those associated with Western liberal democracies and global capitalism.

Paper guarantees, real hardship: How budget 2026–27 abandons rural India

By Vikas Meshram   In the history of Indian democracy, the Union government’s annual budget has always carried great significance. However, the 2026–27 budget raises several alarming concerns for rural India. In particular, the vague provisions of the VBG–Ram Ji scheme and major changes to the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGA) have put the future of rural workers at risk. A deeper reading of the budget reveals that these changes are not merely administrative but are closely tied to political and economic priorities that will have far-reaching consequences for millions of rural households.

Penpa Tsering’s leadership and record under scrutiny amidst Tibetan exile elections

By Tseten Lhundup*  Within the Tibetan exile community, Penpa Tsering is often described as having risen through grassroots engagement. Born in 1967, he comes from an ordinary Tibetan family, pursued higher education at Delhi University in India, and went on to serve as Speaker of the Tibetan Parliament-in-Exile from 2008 to 2016. In 2021, he was elected Sikyong of the Central Tibetan Administration (CTA), becoming the second democratically elected political leader of the administration after Lobsang Sangay.