The record performance represents a 25% surge over the festive sales recorded in 2024
India’s festive commerce sales reached an all-time high this
Diwali, with sales of goods and services hitting a₹5.40 lakh crore (approximately $65 billion) across the country. According to industry figures released on Tuesday, this marks the highest festival season turnover in India’s retail history.
The record performance represents a 25% surge over the festive sales recorded in 2024. The Confederation of All India Traders (CAIT) attributes this boom to two key factors: robust consumer demand and recent GST (Goods and Services Tax) reforms.
A CAIT survey indicated that the reduction in GST rates across several major consumer and retail segments—including confectionery, footwear, home decor, and consumer durables—significantly boosted price competitiveness and quickened the pace of purchases.
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Approximately 72% of surveyed traders reported that their increased sales volumes were directly a result of these tax reductions.
The data shows a powerful resurgence of physical stores, with mainline brick-and-mortar retail accounting for nearly 85% of total sales. Plus, the purchasing power extended beyond major cities, as enhanced rural and semi-urban spending contributed nearly 28% of the overall turnover.
CAIT noted that the massive trade surge created temporary employment for nearly 50 lakh (5 million) people across related sectors like logistics, transport, packaging, and delivery.
Industry leaders called the 2025 Diwali season a major milestone.
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