Your calculation is a bit off, it's around INR500,000(USD $7500)/year.
No doubt it's still a lot of money for a lot of people in India, but after adjusted for prices, it's really very little. Even cheap takeaway food would cost at least ¥300 ish.
That value is in Japanese Yen (JPY), not Chinese Yuan (CNY).
Sorry, lazily I just copy pasted into google, and didn't check the currency google understood it to be.
You mean 502,323 INR (as of now, using xe.com/ucc). Once you start factoring in living expenses (depending on location of course) the amount will seem really low.