Understanding the Potential Market of Selected Consumer Durables in India

S. K. Mohanty, International Institute for Population Sciences (IIPS)

The census of India 2001 collected data for the first time on six consumer durables: radio; bicycle; scooter, moped or motorcycle; car; telephone; and television. Data was collected for the entire country, and for states and districts disaggregated by rural and urban area. This information was also collected in successive rounds of National Family and Health Survey, 1992-93 and 1998-99. Using these data, we attempt to understand the penetration of these durables in rural and urban areas of the country. We also assess the market for the near future, i.e., through 2015, using the trends. This enables us to assess the potential market for the country and has implications for domestic as well as global manufacturing of these assets. The results indicate that the potential market for durables like scooter, motorcycle and moped, car and telephone is large, while this is not the case for radio and bicycle.