Retail Sales Achieve 5% Growth in January
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Synopsis
In January, retail sales in India rose by 5% year-on-year, with food and grocery leading the growth. The RAI's survey highlights regional performance and the impact of the Union Budget 2025 on the retail sector.
Key Takeaways
- Retail sales in India increased by 5% in January.
- Food and grocery sectors grew by 13%.
- West India had the highest sales growth at 7%.
- The Union Budget 2025's tax relief is significant for retailers.
- Consumer preferences are shifting, requiring retailer adaptation.
Mumbai, Feb 27 (NationPress) Retail sales in India experienced a 5% increase in January this year compared to the same month in 2024, according to the recent survey published by the Retailers Association of India (RAI).
Among various categories, food and grocery showed the most significant growth of 13%, followed by consumer durables and quick service restaurants (QSR), both achieving a growth rate of 6% compared to January 2024. This trend reflects an upswing in consumer spending across these sectors.
The survey indicates that West India topped the retail sales growth with a 7% increase, while both North and South India noted a 5% rise. In contrast, East India recorded the lowest growth at 4%.
“The RAI survey demonstrates a 5% retail growth in January, primarily driven by food and grocery at 13%. The Union Budget 2025 income tax exemption limit of Rs 12 lakh offers relief to retailers following last year’s downturn,” stated Kumar Rajagopalan, CEO of RAI.
“Consumer preferences are diverse. Retailers need to adapt to these changes, comprehend evolving tastes, and develop appropriate operating models to remain competitive,” he added.
The apparel and footwear sectors saw a 4% growth, while the jewelry sector expanded by 3%. The beauty and wellness and sporting goods categories experienced a 2% increase, whereas furniture and furnishing recorded the lowest growth at just 1%.
In December 2024, the retail sector experienced a sales growth of 5% compared to the same festive period in the previous year.
During December, South India noted the highest sales growth at 6%, while West and North India each achieved a 5% increase. East India, however, only managed a 4% growth.
The RAI serves as the leading organization for retailers in India, collaborating with all stakeholders to foster a conducive environment for the growth of the modern retail sector in the country.
