Diwali sales hit record Rs 5.40 lakh crore amid GST boost
Indian retailers recorded 5.40 lakh crore rupees in merchandise sales and 65,000 crore rupees in services revenue over the Diwali festival period. The total represents a 25 percent increase from 2024 festivities between Navratri and Diwali, when businesses generated 4.25 lakh crore rupees. Physical stores captured 85 percent of transactions as shoppers returned to traditional retail locations.
Tax cuts on confectionery, home goods, footwear, clothing and household items lowered prices and accelerated purchasing activity. Merchants reported that 72 percent of sales gains came from reduced goods and services tax rates. Buyers appreciated steady pricing amid holiday shopping.
The festival surge created temporary work for 5 million people in shipping, transportation, store assistance, product wrapping and deliveries. Villages and smaller cities contributed 28 percent of total spending as purchasing power expanded beyond major metropolitan areas. The Confederation of All India Traders’ research division compiled sales data from 9 crore small enterprises.
