Diwali shopping breaks records this year, with India’s retail and e-commerce sectors achieving a phenomenal ₹5.4 lakh crore in goods and ₹65,000 crore in services during the 2025 festive season. According to the Confederation of All India Traders (CAIT), this is the highest festive turnover in Indian retail history, reflecting renewed consumer confidence, policy-driven growth, and a strong preference for homegrown products.Diwali shopping breaks records
Diwali shopping breaks records:India’s biggest Diwali trade ever
The nationwide CAIT survey covering 60 major markets and thousands of traders across Tier 1, 2, and 3 cities found a 25 percent increase in total festive spending compared to last year’s ₹4.25 lakh crore turnover. Much of the shopping surge came during the Navratri to Diwali period, with strong sales in segments including jewellery, electronics, apparel, and home decor.
Government initiatives like GST 2.0, which introduced lower rates on key consumer categories—such as confectionery, ready-made garments, footwear, and household items—significantly boosted purchase momentum and improved retail price competitiveness.
Vocal for local drives consumer shift
Nearly 87 percent of Indian buyers chosen local products over imported ones this year, marking a tangible move towards Swadeshi-led consumerism. The “Vocal for Local” campaign, coupled with Prime Minister Narendra Modi’s appeal to purchase Indian goods, spurred a nationalistic buying wave. As a result, Chinese imports saw a sharp decline across markets, and domestic manufacturers posted over 25 percent growth compared to 2024.
E-commerce gets festive fuel
Diwali shopping breaks records. While traditional markets accounted for about 85 percent of total sales, e-commerce platforms also saw record traction. Online giants and quick-commerce services experienced a sharp rise in demand for electronics, festive décor, gold coins, and small appliances. Platforms like BigBasket, Amazon, and Flipkart reported up to 500 percent growth in electronics and 1000 percent spikes in gold and silver coin orders during the Dhanteras week.
The hybrid spending pattern demonstrates how India’s festive economy has evolved to integrate both digital convenience and the joy of in-person shopping in equal measure.
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A festive boost for India’s economy
Diwali shopping breaks records:The historic sales tally underscores the resilience and strength of India’s consumer economy even amid inflationary pressures. Economists suggest that such strong domestic demand could contribute positively to GDP growth for the third quarter of FY2025–26. Finance Minister Nirmala Sitharaman praised the surge as a sign of India’s economic confidence, noting that the momentum from local manufacturing and GST reforms is translating into meaningful prosperity.
