India’s Diwali Trade Hits Record Rs 6 Lakh Crore Boosted by GST Reforms

Diwali 2025 marked a record-breaking surge in India's retail trade, reaching Rs 6.05 lakh crore, driven by strong consumer sentiment, GST rate cuts, and a growing preference for Indian-made products, according to the Confederation of All India Traders (CAIT). The festive period significantly boosted sectors like grocery, FMCG, gold and jewellery, electronics, and apparel, with non-corporate and traditional markets contributing nearly 85% of total trade, underscoring the revival of physical marketplaces and small traders. Services linked to the festival, including hospitality, logistics, and event management, added Rs 65,000 crore, further spreading the economic impact and generating around 50 lakh temporary jobs, especially in rural and semi-urban areas. Analysts highlight the role of Diwali as a major driver of India's GDP and household consumption, with surging sales in vehicles, white goods, and electric vehicles reflecting deep economic resilience amid global volatility. The government's GST rationalisation and income tax relief measures have sustained consumption momentum, encouraging middle-class spending across diverse product categories, from affordable apparel to premium items. This Diwali season also reflects cultural and economic synergy, reinforcing India's Swadeshi spirit and the powerful influence of 1.4 billion consumers moving in unison.