How Did Diwali Sales Reach a Record Rs 5.40 Lakh Crore?
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Synopsis
India's Diwali sales have shattered records this year, hitting an incredible Rs 5.40 lakh crore in goods, underscoring the impact of GST reforms and consumer demand. This article delves into the factors behind this unprecedented growth and what it means for the Indian economy.
Key Takeaways
- Record sales of Rs 5.40 lakh crore this Diwali highlight strong economic recovery.
- GST reforms have played a crucial role in boosting consumer spending.
- Mainline retail's contribution shows a resurgence in brick-and-mortar shopping.
- Increased rural purchasing power indicates broader economic growth.
- Diwali 2025 sets a benchmark for Aatmanirbhar Bharat.
New Delhi, Oct 21 (NationPress) Thanks to GST reforms and a surge in consumer enthusiasm, India's Diwali sales soared to an astonishing Rs 5.40 lakh crore in goods and about Rs 65,000 crore in services nationwide, according to industry data released on Tuesday. This achievement marks the highest festival season revenue in the history of the country's retail and trading sectors.
The figures indicate a remarkable 25 percent increase compared to the festive sales in 2024, which totaled Rs 4.25 lakh crore from Navratri to Diwali, as per the research conducted by CAIT Research and Trade Development Society, associated with the Confederation of All India Traders (CAIT).
Mainline retail constituted nearly 85 percent of the overall sales, demonstrating a robust recovery of the brick-and-mortar market, the survey highlighted.
The lowered GST rates across major consumer and retail categories—such as confectionery, home decor, footwear, ready-made garments, consumer durables, and everyday items—considerably enhanced price competitiveness, leading to increased purchasing activity.
According to the survey, approximately 72 percent of traders reported a significant rise in sales volumes directly linked to reduced GST rates.
Consumers have shown heightened satisfaction with stable pricing amidst festive demand, which has contributed to ongoing consumption even after Diwali.
The non-corporate and non-agricultural sectors have emerged as vital components of India's economic growth, supported by 9 crore small businesses, numerous small manufacturing units, and the largest consumer base.
The surge in Diwali trade is believed to have created temporary employment opportunities for around 50 lakh individuals in logistics, transport, retail support, packaging, and delivery sectors, according to the data.
Improved purchasing power in rural and semi-urban areas accounted for nearly 28 percent of total sales, indicating significant economic reach beyond metropolitan cities.
“Diwali 2025 has set a new standard in India's retail and trading landscape—representing the blend of tradition, technology, and trust within Indian enterprises,” stated CAIT, emphasizing that this year's Diwali is a significant milestone in fostering an Aatmanirbhar Bharat under Prime Minister Narendra Modi's visionary leadership.
Point of View
It is evident that the latest surge in Diwali sales signifies a pivotal moment in India's economic landscape. The convergence of progressive reforms, consumer enthusiasm, and a resilient market showcases the nation's potential for growth and resilience. We stand firmly with the nation in recognizing the efforts propelling us towards a self-reliant future.
NationPress
22/10/2025
Frequently Asked Questions
What contributed to the increase in Diwali sales?
The increase in Diwali sales was primarily driven by GST reforms and a strong consumer demand, which improved price competitiveness and purchasing momentum.
What was the total Diwali sales figure for 2025?
The total Diwali sales for 2025 reached an impressive Rs 5.40 lakh crore in goods and about Rs 65,000 crore in services.
How much did mainline retail contribute to total sales?
Mainline retail accounted for nearly 85 percent of the total sales, reflecting a strong recovery in brick-and-mortar markets.
What impact did GST reductions have on traders?
Approximately 72 percent of surveyed traders reported higher sales volumes directly linked to reduced GST rates.
How many temporary jobs were created during this Diwali?
The Diwali trade surge is estimated to have generated temporary employment for nearly 50 lakh individuals across various sectors.
