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India Year Book 2024

Indian Economy

Chapter - 7: Basic Economic Data

  • 16 Oct 2024
  • 12 min read

Introduction

  • The Ministry of Statistics and Programme Implementation (MoSPl) was established in 1999 after the merger of the Department of Statistics and the Department of Programme Implementation. 
    • It consists of two wings: one focusing on statistics and the other on programme implementation. 
      • The Statistics Wing is now known as the National Statistics Office (NSO), comprising the Central Statistics Office (CSO) and the National Sample Survey Office (NSSO). 
  • The Programme Implementation Wing includes three divisions: Twenty point programmes, Infrastructure and project monitoring, and Members of Parliament Local Area Development Scheme. 
  • Apart from these wings, there is the National Statistical Commission (NSC), established through a resolution of the Government of India, and the Indian Statistical Institute (ISI), which is an autonomous institute declared as an institute of national importance by an Act of Parliament. 

National Statistical Commission 

  • The National Statistical Commission (NSC) was established in 2005 following the recommendation of the Rangarajan Commission in 2001. 
    • It was officially constituted in 2006 with the aim of being a central body for all major statistical activities in India. 
  • The NSC is tasked with developing, monitoring, and enforcing statistical priorities and standards, as well as ensuring coordination in statistical activities. 
  • Its structure includes a part-time Chairperson, four part-time members with expertise in specific statistical fields, and the CEO of NITI Aayog as an ex-officio member. 
  • The Chief Statistician of India serves as the Secretary to the Commission and is also the Secretary to the Government of India in the Ministry of Statistics and Programme Implementation. 

Central Statistics Office

  • The National Statistical Office is an attached office of the Ministry, responsible for coordinating statistical activities in the country and developing statistical standards. 
    • Its activities involve compiling national accounts, the Index of Industrial Production, and consumer price indices for urban, rural, and combined areas. 
  • The office also deals with human development statistics, including gender statistics across states and union territories. 
  • Dissemination of energy statistics, social statistics, and environmental statistics is part of its functions. 
  • Additionally, it is involved in preparing the National Industrial Classification. 

Index of Industrial Production

  • NSO (National Statistical Office) compiles the Index of Industrial Production (IIP) using secondary data from 14 source agencies across various ministries/departments or their attached/subordinate offices. 
    • IIP is released monthly in the form of Quick Estimates, adhering to the Special Data Dissemination Standard norms of IMF, with a time-lag of 6 weeks. 
  • Alongside sectoral breakdowns for mining, manufacturing, and electricity, estimates are also released based on use-based classification, including primary goods, capital goods, intermediate goods, infrastructure/construction goods, consumer durables, and consumer non-durables. 
  • The Department for Promotion of Industries and Internal Trade is the primary source of data for IIP, providing information for 322 out of 407 item groups, with a weight of 47.54 percent in the overall IIP. 

National Sample Survey Office

  • The National Sample Survey Office (NSSO), under the Ministry of Statistics and Programme Implementation, conducts large-scale sample surveys nationwide. 
  • NSSO collects primary data through household surveys covering various socio-economic topics, the Annual Survey of Industries (ASI) under the Collection of Statistics Act, and Enterprise Surveys following the economic census. 
    • It also gathers data on rural and urban prices and oversees crop statistics improvement through state agency surveys. 
    • NSSO maintains an urban area frame for selecting samples in urban socio-economic surveys. 
    • NSSO operates autonomously in data collection, processing, and dissemination, overseen by the National Statistical Commission (NSC). 
  • NSC forms working groups/technical committees to finalize survey instruments and methodologies. 
  • The Director General (Survey) oversees NSSO activities, assisted by four Additional Director Generals, each managing separate divisions for survey design, fieldwork, data processing, and coordination. 
  • NSSO conducts various surveys including Socio-Economic Surveys, Periodic Labour Force Surveys, ASI, Annual Survey on Unincorporated Sector Enterprises, Annual Survey of Service Sector Enterprises, Household Consumer Expenditure Survey, Urban Frame Survey, and Price Statistics. 

Price Statistics

  • National Statistical Office (NSO) under the Ministry of Statistics and Programme Implementation (MoSPI) initiated compiling Consumer Price Index (CPI) separately for rural, urban, and combined sectors monthly from January 2011. 
  • The base year for CPI was revised from 2010=100 to 2012=100, aligning with international standards and incorporating methodological improvements. 
  • The revised CPI series utilized data from the Modified Mixed Reference Period (MMRP) of the Consumer Expenditure Survey (CES) 2011-12 from the 68th Round of National Sample Survey (NSS). 
  • The basket of items and weighing diagrams for the revised series was prepared based on CES data. 
  • Additionally, Consumer Food Price Index (CFPI) is released, representing a weighted average of indices of ten sub-groups: cereals and products; meat and fish; egg; milk and products; oils and fats; fruits; vegetables; pulses and products; sugar and confectionery; and spices. 
  • Notably, non-alcoholic beverages and prepared meals, snacks, sweets, etc., are excluded from CFPI. 

Consumer Price Index (Urban)

  • Consumer Price Indices (CPI) track changes in the general level of retail prices of goods and services for urban populations. 
  • CPI (U) uses 2012 as the base year with a base index of 100. 
  • Price data is collected from 1,078 quotations monthly across 310 towns nationwide. 
  • The NSSO (National Sample Survey Office) is responsible for regularly collecting and transmitting monthly retail price data for CPI (U) through the urban prices portal. 

Consumer Price Index (Rural)

  • MoSPl (Ministry of Statistics and Programme Implementation) took over CPI (Rural) duties from the Department of Posts in September 2018. 
  • CPI (Rural) uses the same base year (2012=100) as CPI (Urban). 
  • Price data collection for CPI (Rural) occurs in 1,181 villages nationwide. 

Project Monitoring Group 

  • Project Monitoring Group (PMG) established in 2013 within the Cabinet Secretariat to expedite major infrastructure projects. 
    • Transferred to the administrative control of the Prime Minister's Office in 2015. 
    • Merged with DPIIT (Department for Promotion of Industry and Internal Trade) since 2019. 
  • Serves as an institutional mechanism for resolving issues and accelerating the setup and commissioning of large Public, Private, and Public-Private Partnership (PPP) projects. 
  • Investors facing delays in projects with an anticipated investment of ₹500 crore or more can report issues on the PMG portal. 
  • PMG engages with relevant authorities in central or state governments to address reported issues. 
  • PMG facilitates projects mainly in sectors such as railways, national highways, civil aviation, shipping, petroleum and natural gas, chemicals and fertilizers, coal, power, mines, cement, construction, and steel. 

Sustainable Development Goals

  • In 2015, the United Nations General Assembly adopted the "Transforming our World: the 2030 Agenda for Sustainable Development," which comprises 17 Sustainable Development Goals (SDGs) and 169 associated targets. 
    • The SDGs aim to build upon the success of the Millennium Development Goals (MDGs) and encompass social, economic, and environmental dimensions of development. 
    • These goals are universal, applicable to all nations regardless of their level of development, and interconnected, emphasizing the need for comprehensive and participatory approaches to ensure that no one is left behind. 
  • India has committed to implementing the SDGs by tailoring them to national priorities and needs, using nationally defined indicators. 
  • NITI Aayog serves as the nodal institution responsible for coordinating SDG efforts at both the national and sub-national levels. 
  • The Ministry of Statistics and Programme Implementation (MoSPI) is tasked with developing and periodically reviewing the National Indicator Framework for SDGs, including data sources and periodicity, to facilitate national-level monitoring of progress. 

Members of Parliament Local Area Development Scheme 

  • The Members of Parliament Local Area Development Scheme (MPLADS) began in 1993, fully funded by the central government. 
  • Its aim is to allow MPs to recommend developmental projects in their constituencies based on local needs. 
  • The scheme focuses on creating durable community assets, including infrastructure for drinking water, education, health, sanitation, and roads. 
  • Guidelines for MPLADS were revised and enforced in April 2023. 
  • Key features include: 
    • No restrictions on access or usage of assets created. 
    • Each MP/constituency has an annual entitlement of ₹5 crore. 
    • MPs only recommend projects; district authorities handle sanctioning, execution, and completion. 
    • Projects can include those for calamity-affected areas, assistance to differently-abled persons, asset repair, renovation, and development of Scheduled Castes and Scheduled Tribes areas. 
    • A new Web-Solution facilitates the revised fund flow procedure, allowing real-time monitoring of funds and project status. 
  • The 2023 guidelines and new Web-Solution simplify the process, including auto-generation of Utilisation Certificates and progress reports.
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