​Since India’s independence in 1947, the methodology for estimating poverty has undergone significant transformations, influenced by evolving economic policies, demographic changes, and social considerations. Various committees have played pivotal roles in refining these methodologies to better capture the multifaceted nature of poverty.​

1. Dadabhai Naoroji’s Subsistence Approach (1876)

• Introduced the “Drain Theory,” highlighting the economic exploitation of India under British rule.​

• Proposed that poverty resulted from the transfer of wealth from India to Britain, leading to widespread impoverishment.​

2. Dandekar and Rath Methodology (1971)

• Recommended a poverty line based on the expenditure required to provide 2,250 calories per person per day.

• Calculated that a rural individual needed an annual income of ₹170.80, while an urban individual required ₹271.70 to meet basic nutritional needs.​

• Estimated that 40% of rural and 50% of urban populations lived below this poverty line in 1960–61. ​

3. Alagh Committee Recommendations (1979)

• Adjusted poverty estimates for inflation, ensuring that the poverty line reflected changes in the cost of living.​

• Calculated poverty lines based on nutritional requirements, considering regional variations in food consumption patterns.​

4. Lakdawala Committee Approach (1993)

• Introduced state-specific poverty lines, acknowledging regional disparities in living standards and costs.​

• Discontinued scaling based on National Accounts Statistics, focusing instead on direct consumption measures.

5. Tendulkar Committee Methodology (2009)

• Expanded the poverty line basket beyond calorie consumption to include items like clothing, housing, and education.​

• Recommended a uniform reference period for expenditure reporting, enhancing comparability across items.​

• Adjusted poverty lines for private expenditures, providing a more accurate reflection of household consumption.​

• Estimated that 29.8% of the population lived below the poverty line in 2009–10. ​

6. Rangarajan Committee Reassessment (2014)

• Revised the poverty line to ₹972 per person per month in rural areas and ₹1,407 in urban areas, based on normative and behavioral consumption patterns.​

• Estimated that 29.5% of the population was below the poverty line in 2011–12, highlighting a significant portion of the population living in poverty. ​

7. Recent Developments and Surveys (2022–2023)

• The Ministry of Statistics and Programme Implementation conducted the Household Consumption Expenditure Survey during 2022–23, providing updated data on consumption patterns.

• Based on this survey, the State Bank of India reported rural poverty at 7.2% and urban poverty at 4.6% for the period, with new poverty lines set at ₹1,622 per person per month for rural areas and ₹1,929 for urban areas.

These evolving methodologies reflect India’s dynamic approach to poverty estimation, adapting to changing economic landscapes and striving for more accurate and inclusive measures. Each committee’s recommendations have contributed to a nuanced understanding of poverty, influencing policy interventions aimed at poverty alleviation.