Signs of distress: Rich villages go easy on discretionary spending

Signs of distress in rural markets are visible in well-to-do villages as well.

Shekhar Singh, a youth in Mathurapur village in Uttar Pradesh’s Hathras district, loves bikes. He bought a Royal Enfield in 2022, a year that allowed his family of farmers to indulge their shopping list of wants. This year, however, hasn’t been good, so his extended family has decided to avoid discretionary spending.

An agrarian village of more than 2,500 with a dominant Jat population, the farmers in Mathurapur have seen a poor kharif yield that has compelled them to tighten their purse strings. Singh’s uncle, Sanjeev Kumar, points out that the average acre produced five quintals of paddy as against 15 quintals last year.

“Our regular household expenses remain the same. We cultivate a portion of the grains and vegetables for our own consumption, but fuel costs for running a tractor and crop fertilisers are expensive,” Kumar says.

Two-wheelers are a necessity for getting around, while a four-wheeler is a distant dream for now, with hired cars catering to needs like family trips to nearby cities.

“We were planning to buy a geyser, but decided against it as agricultural expenses are a bigger priority. We can afford to bathe using cold water or out in the sun,” says Arun Kumar, an elder in the family, adding that they also avoid recharging direct-to-home television packages for a month or two if there isn’t money to spare.

Citing another example, Singh points out that while a detergent like Surf Excel costs around Rs 135-140 per kilo, similar locally made and inferior products are available for as little as Rs 100 for 3 kg. Depending on one’s budget, villagers, including his family, choose between the branded product or the cheaper alternatives.

Others in the village also complain of mehngai (inflation).

A government school teacher, who does not want to be named, says he earns Rs 85,000 a month, but the rise in prices has forced him to cut corners. With three children studying in private schools, he says he isn’t buying dry fruits or warm clothes as regularly this year.