Did FM Sitharaman Announce Record Diwali Sales of Rs 6.05 Lakh Crore?
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Synopsis
The recent Diwali sales in India saw an unprecedented rise, reaching Rs 6.05 lakh crore. This growth is attributed to GST reductions and a surge in demand for local products. Discover how this year's festive season has set new benchmarks for India's retail landscape.
Key Takeaways
- Record Diwali sales reached Rs 6.05 lakh crore.
- GST rate cuts significantly boosted consumer spending.
- Mainline retail made up 85% of total sales.
- Temporary jobs for 50 lakh people created.
- Rural areas contributed 28% to overall sales.
New Delhi, Oct 22 (NationPress) Finance Minister Nirmala Sitharaman on Wednesday pointed out a remarkable increase in Diwali sales this year, reaching an unprecedented Rs 6.05 lakh crore. This surge was fueled by GST rate reductions and robust demand for ‘swadeshi’ products.
The Finance Minister referenced the Confederation of All India Traders (CAIT), which estimated that this year’s Diwali sales included Rs 5.4 lakh crore in goods and Rs 65,000 crore in services.
This represents a 25 percent increase compared to the 2024 festive sales of Rs 4.25 lakh crore during the Navratri to Diwali period, marking the highest sales ever recorded in India's trading history, as reported by the Research and Trade Development Society, CAIT's research arm.
Mainline retail constituted almost 85 percent of the total sales, indicating a strong comeback of the physical retail market, as revealed by the survey.
The decrease in GST rates for essential consumer and retail categories, including confectionery, home decor, footwear, ready-made garments, consumer durables, and everyday items, significantly enhanced price competitiveness and boosted purchasing activity.
Approximately 72 percent of surveyed traders noted increased sales volumes directly linked to the reduced GST, according to the findings.
Consumers reported higher satisfaction with stable prices during the festive season, supporting ongoing consumption even after Diwali.
The non-corporate and non-agricultural sectors have emerged as key drivers of India's growth, supported by 9 crore small businesses, countless small manufacturing units, and the largest consumer base.
The data indicated that the Diwali trade surge has likely created temporary employment for around 50 lakh people in logistics, transportation, retail support, packaging, and delivery.
Improved purchasing power in rural and semi-urban areas contributed nearly 28 percent to total sales, showcasing significant economic reach beyond metropolitan areas.
According to CAIT, Diwali 2025 has established a new standard in India’s retail and trading landscape, representing the blend of tradition, technology, and trust in Indian entrepreneurship. They noted that this year’s Diwali is a pivotal achievement in fostering an 'Aatmanirbhar Bharat' under the visionary leadership of Prime Minister Narendra Modi.
Point of View
The surge in Diwali sales reflects a positive economic trend that aligns with the government's vision for a self-reliant India. The data shows a strong revival in consumer confidence and spending, particularly in non-metro regions, emphasizing the need for continued support for small businesses that form the backbone of our economy.
NationPress
22/10/2025
Frequently Asked Questions
What contributed to the rise in Diwali sales?
The rise in Diwali sales can be attributed to GST rate cuts and a strong demand for swadeshi products.
How much did Diwali sales reach this year?
This year's Diwali sales reached a record high of Rs 6.05 lakh crore.
What percentage of sales came from mainline retail?
Mainline retail accounted for nearly 85 percent of the total sales.
What impact did Diwali sales have on employment?
The Diwali trade surge is estimated to have generated temporary employment for around 50 lakh people.
How did rural areas contribute to Diwali sales?
Enhanced purchasing power in rural and semi-urban areas contributed nearly 28 percent of overall sales.
