NEW DELHI, Oct 21: Driven by reforms in the Goods and Services Tax (GST) and robust consumer demand, India’s Diwali sales have reached an unprecedented ₹5.40 lakh crore in goods and around ₹65,000 crore in services, marking the highest turnover in the nation’s retail and trading history during the festival season. This reflects a significant 25% increase from 2024 Diwali sales, which amounted to ₹4.25 lakh crore during the Navratri to Diwali period, according to the CAIT Research and Trade Development Society, the research arm of the Confederation of All India Traders (CAIT).
Almost 85% of total sales came from mainstream retail, signaling a strong revival of physical stores, as indicated by a recent survey. The lowering of GST rates on essential consumer and retail products, including confectionery, home decor, footwear, and ready-made garments, has notably improved pricing competitiveness and boosted purchasing activity.
The survey revealed that 72% of traders reported increased sales volumes directly linked to the reduced GST rates. Amid the festive shopping, consumers have shown higher satisfaction with stable prices, which has encouraged continued spending post-Diwali. The non-corporate and non-agricultural sectors have become vital to India’s economic development, supported by approximately 90 million small businesses and an expansive base of consumers.
Data indicates that the Diwali sales surge has likely generated temporary employment opportunities for nearly 5 million individuals in logistics, transportation, retail assistance, packaging, and delivery. Enhanced purchasing power, particularly in rural and semi-urban areas, has contributed roughly 28% of overall sales, demonstrating substantial economic growth beyond metropolitan regions.
CAIT described Diwali 2025 as a significant milestone, highlighting its role in blending tradition, technology, and trust in Indian commerce. This year’s festival is positioned as an important step towards achieving an Aatmanirbhar Bharat (self-reliant India) under the leadership of Prime Minister Narendra Modi.
Original Source: https://theshillongtimes.com/2025/10/22/diwali-sales-hit-record-%E2%82%B95-40-lakh-cr-over-gst-reforms-robust-consumer-demand/
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Publish Date: 2025-10-22 04:26:00
