MEASURING THE PRICE CHANGE IN ESSENTIAL FOOD ITEMS USED BY RURAL AND URBAN HOUSEHOLDS DURING THE PANDEMIC IN TELANGANA STATE
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Date
2023-02-23
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PROFFESSOR JAYASHANKAR TELANGANA STATE AGRICULTURAL UNIVERSITY
Abstract
The virus originated in China had sent unprecedented situations to the whole
world creating social and economic impacts. The spread of infection urged governments
to implement immediate lockdown. This led to a break in the supply chain creating a
shortage of food as there was no transport and labour to continue the production. Due to
the shutdown of economies, employers faced financial problems and started laying off
their employees. Many people faced salary reductions and loss of jobs during the
pandemic. Therefore, it became harder to manage the expenses amidst the rising prices.
The main reasons for the rise of prices were lack of storage place, lack of transportation
and labour. People were forced to consume whatever was available in the market. This
situation brought a lot of changes in the consumption behaviour of the people. the
present study was
The current study aids in understanding the price changes that occurred in
essential food items and changes in quantities of essential foods consumed. The study
was taken up with following objectives:
Exploratory research design was adopted for this study and a total of 200
respondents i.e., 100 rural respondents from Undavelli and Kadukuntla villages and 100
urban respondents from Jogulamba Gadwal town and Wanaparthy town were selected
for this study. Multi stage sampling technique was adopted for selection of location. A
structured questionnaire was administered to avail the required information from the
respondents. The data was analysed using frequencies and percentages. Correlation test,
Chi-square test and ANOVA tests were used respectively to test the relation, association
and variance between the independent variables and dependent variables.
The demographic information revealed that among 200 respondents, less than
half (42%) of the respondents belonged to 41-60 years followed by one third belonged
to 26-40 years and 17 per cent belonged to below 25 years. More or less an equal
percentage of the respondents were graduates (26.5%) and completed up to intermediate
(21%). Around 36.5 per cent were earning between Rs. 6000-18000 followed by 29.5
per cent were earning between Rs.18000-31000. Majority of the sample belonged to
small families (67%). More or less equal per cent of the respondents belonged to
families with adolescents (18%) and school going children (18.5%).
Regarding the quantities of essential foods consumed in rural area, majority of
the consumption increase in was observed in dry fruits (71.9%), grapes (71.1%), apple
(44%) and chicken (35.9%). A similar trend was observed in urban area. It was found
that highest increase in expenditure was observed in milk and meat/ vegetables and fruit
when compared to the pre-pandemic period. With the highest CPI noticed in milk and
meat (174.09) and vegetables and fruits (149.5) in rural area, milk and meat products
(172.17) and vegetables and fruits (152.1) in urban area.
It was found that fear of selection, lack of transport and restricted movement
were major concerns during lockdown in both rural and urban areas. In both rural and
urban area, people preferred nearby markets, multi-item grocery stores and brought
larger quantities and stored due to restrictions. Due to the impact of Covid-19, people
experienced more expenditure after pandemic, decreased junk food consumption,
increase consumption of healthy products in both rural and urban areas. About, 76 per
cent had reverted to their usual life style after the pandemic. Majority of the people were
dependent on their savings and loans borrowed from others. Respondents had stored
non-perishable for more than one month and perishable foods for 1-2 weeks in both
rural and urban areas.
Statistical analysis performed using correlation test revealed that there was a
significant relationship between family size, stages of family life cycle and expenditure
incurred in 2020. Chi-square analysis had shown a significant association between
family size, stages of family life cycle and expenditure incurred in 2019 and a
significant association between family size and expenditure incurred in 2020. ANOVA
test revealed that there was a significant difference between family size, stages of family
life cycle and consumer price index.
The study concluded that fresh fruits, vegetables, milk and meat has shown the
greatest consumption increase with products like milk and meat, vegetables and fruits
showing highest expenditure and CPI when compared to other products. Lockdown has
urged people to alter their consumption behaviour which led to a change in shopping
behaviour, stocking food items, reducing store visit. Due to financial crisis people had
sticked to basic needs. It was also found that people were dependent on savings and
loans to survive the pandemic.