In the past, the Indian consumer was a reliable driver of demand even in slowdowns. That doesn't seem to be the case during today's slowdown, Niranjan Rajadhyaksha explains in this column for Mint. Focusing on the big drivers of consumer spending, he notes that the composition indicates concerns different from dominant narratives, that for example focus on dried up credit. Excerpt:

"Food accounts for a little more than a quarter of personal final consumer expenditure (PFCE) in India at constant prices. Transport (which includes both ownership of vehicles as well as journey costs) accounts for 17.02% of average family budgets. The cost of housing plus utilities such as electricity and fuel take up another 14.11%. In contrast, clothing and footwear have a 6.4% share in PFCE. Health (4.8%) and education (3.9%) together are bigger than clothing and footwear."

Read the full article here.