The poverty line was originally fixed in terms of income/food requirements in 1978. It was stipulated that the calorie standard for a typical individual in rural areas were 2400 calorie and was 2100 calorie in urban areas.
Then the cost of the grains (about 650 gms) that fulfill this normative standard was calculated. This cost was the poverty line. In 1978, it was Rs. 61.80 per person per month for rural areas and Rs. 71.30 for urban areas. Since then the Planning Commission calculates the poverty line every year adjusting for inflation. The poverty line in recent years is as follows -
Rs. per month per head
| Year | Rural | Urban |
2000-01 | 328 | 454 |
2005-06 | 368 | 560 |
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