India’s Diwali sales hit a record Rs 5.40 lakh crore in goods and around Rs 65,000 crore in services this festive season, buoyed by GST reforms and robust consumer demand, industry data showed on Tuesday. This marks the highest-ever turnover during the festival period in the country’s retail and trading history.
According to CAIT Research and Trade Development Society, the research wing of the Confederation of All India Traders (CAIT), sales between Navratri and Diwali grew 25 per cent over last year’s Rs 4.25 lakh crore.
Mainline retail contributed nearly 85 per cent of total sales, signalling a revival of brick-and-mortar stores. Analysts said the reduction in GST rates on key consumer and retail items such as confectionery, footwear, home decor, ready-made garments, consumer durables, and daily-use products improved price competitiveness, fuelling demand.
About 72 per cent of traders surveyed reported higher sales volumes directly linked to lower GST, while consumers welcomed stable prices, which helped sustain purchasing momentum after Diwali.
The non-corporate and non-agricultural sector—comprising over 9 crore small businesses and numerous manufacturing units—remains a key driver of India’s economic growth, supported by the country’s vast consumer base.
The festival trade is estimated to have created temporary employment for nearly 50 lakh people across logistics, transport, retail assistance, packaging, and delivery, the survey noted. Enhanced spending power in rural and semi-urban areas accounted for almost 28 per cent of total sales, underscoring the depth of economic penetration beyond metropolitan centres.
“Diwali 2025 has set a new benchmark in India’s retail economy, reflecting the fusion of tradition, technology, and trust in Indian enterprise,” said CAIT, adding that this year’s festive season marks a milestone in building an Aatmanirbhar Bharat under Prime Minister Narendra Modi’s leadership.
–IANS
