Authors: Ajay Sood and Ritesh Singh | EPW Vol. 61, No. 13, March 28, 2026

A field-based study of Chamba district in Himachal Pradesh — one of India’s most backward hill districts — finds that caste remains the dominant structural barrier to poverty reduction, irrespective of access to government welfare schemes. The study applies the Multidimensional Poverty Index (MPI) framework developed by OPHI and UNDP to go beyond income-based analysis.

Study Site: Chamba District

  • Located in the northern tip of Himachal Pradesh; shares borders with Jammu & Kashmir and Ladakh
  • HDI rank: Lowest among H.P.'s 12 districts
  • Population composition: significant SC, ST (Gaddis, Gujjars), OBC communities
  • Economy: subsistence agriculture, animal husbandry, limited formal employment
  • Infrastructure gaps: limited road connectivity, sparse health infrastructure, low secondary school enrolment

Key Findings: Caste and MPI Outcomes

Indicator General Category HHs SC/ST/OBC HHs
Monthly per capita income Significantly higher Lower by 35-45%
Consumption expenditure Better Notably lower
Pucca housing More common Less common; kutcha prevalent
Secondary education completion Higher Lower; dropout rates elevated
Health insurance coverage Better Scheme coverage inconsistent
Access to clean cooking fuel Higher Lower; biomass dependence
Sanitation facility Better Government schemes help but gaps persist

Core finding: Even after controlling for location and occupation, general caste households score significantly better on MPI sub-dimensions than SC/ST/OBC households — indicating caste as an independent structural variable, not merely correlated with income.

The Multidimensional Poverty Index (MPI) Framework

The MPI, developed by Oxford Poverty and Human Development Initiative (OPHI) in partnership with UNDP, measures poverty across three dimensions and ten indicators:

Dimension Indicators
Education Years of schooling; school attendance
Health Child mortality; nutrition
Living Standards Cooking fuel; sanitation; drinking water; electricity; housing; assets

A household is MPI-poor if it is deprived in at least one-third of the weighted indicators.

India’s National MPI progress:

  • 415 million people escaped multidimensional poverty between 2005-06 and 2019-21 (Niti Aayog / OPHI data)
  • India’s MPI value fell from 0.283 (2005-06) to 0.069 (2019-21)
  • But: SC/ST MPI scores remain significantly above national average, indicating structural persistence of caste-linked deprivation

Welfare Schemes: Inconsistent Effectiveness

The study documents gaps in scheme delivery:

  • PDS (Public Distribution System): Better penetration, but exclusion errors remain for migrating/seasonal workers
  • PMJAY (Ayushman Bharat): Health insurance card possession higher among SC/ST, but actual utilisation limited due to awareness and distance barriers
  • PMAY-G (Pradhan Mantri Awas Yojana — Gramin): Housing assistance reaches many SC/ST households but quality of construction and infrastructure remains poor
  • MGNREGA: Employment guarantee reaches beneficiaries, but wage delays and limited workdays reduce impact
  • Financial literacy: Very low among SC/ST women — limits ability to access PM Jan Dhan, PM Mudra, and other financial inclusion schemes

Key critique: Schemes are designed for average poor households, not for the intersectional vulnerabilities of SC/ST communities in remote hill districts — structural barriers (distance, discrimination, language, documentation) systematically filter out the most marginalised.

Comparison with National Data

Dataset Finding on Caste-Poverty Link
SECC 2011 SC households: 29.4% landless agricultural labour; general: much lower
NFHS-5 (2019-21) Stunting: SC 40.3%, ST 43.8% vs national 35.5%; OBC 37.0%
India MPI 2023 SC incidence: 21.4%; ST: 36.9%; OBC: 19.3%; general: 9.3%
Chamba study (2026) All MPI sub-dimensions worse for SC/ST/OBC vs general — confirms national pattern at micro level

Recommendations

  • Targeted financial literacy programmes for SC/ST women — not generic awareness camps
  • Health insurance activation camps at village level to bridge card-possession vs utilisation gap
  • Basic amenities convergence: Water, sanitation, cooking fuel delivery must be SC/ST-habitation-focused, not just district-average-focused
  • Social capital building: Collective institutions (SHGs, cooperatives) for SC/ST communities to reduce market discrimination
  • 15th Finance Commission route: Increase devolution to Panchayati Raj Institutions (PRIs) for last-mile delivery, with SC/ST-outcome conditionalities

UPSC Angle

  • GS1 — Indian Society: Caste system; poverty and development; vulnerable sections; regional disparities
  • GS2 — Social Justice: Welfare schemes for SC/ST; PRI and service delivery; 15th Finance Commission recommendations
  • GS3 — Poverty: MPI vs income poverty; Niti Aayog MPI methodology; structural vs transient poverty

Likely Mains question: “Income-based poverty metrics understate the structural disadvantage of Scheduled Castes and Tribes in India. Discuss with reference to the Multidimensional Poverty Index.” (GS3, 15 marks)

Facts Corner

  • MPI (Multidimensional Poverty Index): Developed by OPHI (Oxford) and UNDP; covers 3 dimensions, 10 indicators; household deprived in ≥1/3 weighted indicators = MPI poor
  • India MPI 2023 (Niti Aayog): 11.28% of population multidimensionally poor; down from 29.17% in 2013-14
  • 415 million: Number who escaped MPI poverty in India between 2005-06 and 2019-21 — largest reduction globally
  • SECC 2011: Socio-Economic Caste Census — only comprehensive database of caste-income intersection; next census overdue
  • NFHS-5 (2019-21): National Family Health Survey — key data source for health, nutrition, fertility indicators by caste
  • Chamba district: Among the 112 aspirational districts identified by Niti Aayog under the Aspirational Districts Programme
  • 15th Finance Commission: Recommended ₹4.36 lakh crore to local bodies (2021-26); stressed health and drinking water outcomes for PRIs