Declining Demand for Foodgrains in Rural India

Demand for foodgrains in India has been declining and some of this decline indicates an increase in consumer welfare. The decline has been sharper in the rural areas where improvements in infrastructure make other food items and non-food commodities available. Though cereals (used here as proxy for foodgrains) consumption has increased among the poorest 30 per cent of the population, even this group is near the saturation point.