Fewer Indians were living in penury in 2004-05 than in 1999-2000 with official data showing poverty declining by 4.3% during the period but there were still 238.5 million living in less than desirable conditions.Poverty in India declined to 21.8% in 2004-05 from 26.1% in 1999-2000, according to a report of the National Sample Survey (NSS) released by the Planning Commission today.The decline in poverty was comparatively much steep in rural areas where the percentage of people living below the poverty line fell to 21.8% (2004-05) from 27.1% (1999-00). In urban areas, the percentage of people living below the poverty line fell to 21.7% (2004-05) from 23.6% (1999-00), according to the NSS estimates based on the Mixed Recall Period (MRP)- consumption distribution data.The number of people living below the poverty line was estimated at 238.5 million - 170.3 million in rural areas and 68.2 million in urban areas - out of the over one billion population.The level of poverty, based on the Uniform Recall Period (URP)-consumption distribution data, declined to 27.5% in 2004-05 from 36% in 1993-94.The level of poverty under the URP method in rural areas fell to 28.3% in 2004-05 from 37.3% in 1993-94 and in urban areas to 25.7% from 32.4%.Under the URP methodology, data is collected using 30-day recall period for all items of consumption, while under MRP, consumption expenditure data is collected using 365-day recall period for five infrequently purchased items (clothing, footwear, durable goods, education and institutional medical expenses) and 30-day recall period for the remaining items.Based on the MRP consumption data, Orissa was the poorest state with 39.9% of people living below the poverty line followed by Jharkhand (34.8%) and Bihar (32.5%).In absolute terms, the number of people living below poverty line was 45.8 million in Uttar Pradesh followed by Bihar (29 million) and Maharashtra (26 million).Poverty levels were low in Chandigarh (3.8% living below the poverty line), Jammu and Kashmir (4.2%) and Punjab (5.2%). In Delhi, 1.6 million people were living below the poverty line accounting for 10.2% of the national capital's population.
