Highlights – Diwali’s ‘Big Bang’! Market booms with ₹6.05 lakh crore worth of business, ‘Swadeshi’ wave hits China
According to a CAIT report, the country recorded a historic turnover of ₹6.05 lakh crore. Prime Minister Modi’s ‘Swadeshi’ appeal had a tremendous impact. 87% of people rejected Chinese goods. Small traders accounted for 85% of this bumper sales, and 5 million people also found temporary employment.
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This year’s Diwali wasn’t just about lights and sweets; it marked a historic turning point for the Indian economy. The country’s markets shattered all previous sales records. A detailed report by the Confederation of All India Traders (CAIT) revealed that India generated a record-breaking ₹6.05 lakh crore in sales this festive season. This figure is so large that it has become the largest festive sale in the country’s business history. This unprecedented success has not only revitalized the markets but is also a resounding victory for the spirit of ‘Atmanirbhar Bharat’.
The survey, conducted by CAIT’s research arm, covered 60 major cities across the country, including all state capitals, as well as tier-2 and tier-3 cities. The report paints a picture of how strongly India’s traditional retail market is making a comeback.
87% of Indians said ‘no’ to Chinese goods
The biggest driving force behind this record-breaking sales has been the spirit of ‘swadeshi’. According to CAIT National General Secretary Mr. Praveen Khandelwal, Prime Minister Mr. Narendra Modi’s call for ‘Vocal for Local’ and ‘Swadeshi Diwali’ inspired both merchants and consumers to an unprecedented extent.
According to the report, the Prime Minister emerged as a “strong brand ambassador” for this campaign. His appeal had such a profound impact on the public that 87% of consumers surveyed preferred to buy Indian goods over foreign, especially Chinese, products. As a direct result, demand for Chinese products declined sharply. Merchants themselves reported a 25% increase in sales of Indian-made goods compared to the previous year. This change is not merely an economic statistic, but reflects a clear wave of nationalism and indigenous pride that has transformed the market.
Small Traders Make a Remarkable Comeback
The most interesting and significant aspect of this Diwali sales is that non-corporate businesses—our traditional markets and small traders—accounted for approximately 85% of this massive ₹6.05 lakh crore turnover. This statistic demonstrates the true strength and deep roots of the Indian retail market.
This is proof that despite the presence of large e-commerce platforms and malls, India’s common merchants remain the backbone of the economy. Last year, Diwali sales totaled ₹4.25 lakh crore, a significant increase of 25% compared to this year’s. This surge marks a significant relief and a resounding comeback for small traders who have been facing numerous challenges for some time. This sale proves that India’s true markets reside not in metropolitan malls, but in markets like Chandni Chowk.
From grocery to gold and silver, everyone made history.
This bumper sale wasn’t limited to any one sector. CAT National President Mr. B.C. Bhartia said that shopping was intense in almost every sector. As always, grocery and FMCG (12%) accounted for the largest share of the total merchandise trade (₹5.40 lakh crore). This was followed by gold and silver (10%), which are considered symbols of prosperity during the festive season.
In addition, there was significant shopping in sectors such as electronics and electricals (8%), readymade garments (7%), gift items (7%), and home decor (5%). Demand remained strong across the board, from sweets, snacks, puja items to furniture and footwear.
Not only this, the service sector also performed exceptionally well this time. For the first time, a record trade of ₹65,000 crore was recorded in the service sector. During Diwali, businesses such as packaging, hospitality (hotels and restaurants), taxi services, travel, event management, and decorations saw unprecedented growth. This demonstrates that the festive economy is no longer limited to the purchase of goods, but the consumption of services is also rapidly expanding.
Diwali created 5 million new jobs
A major reason behind this record sales is the rationalization of GST rates. 72% of traders surveyed agreed that the reduction in GST rates allowed them to offer better prices to customers, leading to increased sales. Consumers also expressed satisfaction with the stable prices.
This enthusiasm is not merely temporary. According to the report, the Trader Confidence Index (TCI) is at 8.6/10 and the Consumer Confidence Index (CCI) is at 8.4/10, the highest in a decade. This growing confidence reflects confidence in the national economy amid controlled inflation and rising incomes.
This festive season has also brought significant good news on the employment front. The non-corporate sector, comprising 90 million small traders, created 5 million temporary jobs during Diwali. Importantly, 28% of total trade came from rural and semi-urban areas, demonstrating that economic strength is no longer limited to metropolitan areas.
Based on this report, CAIT has also made several suggestions to the government, including GST simplification, easier credit, and the creation of logistics hubs in Tier 2/3 cities. Mr. Khandelwal said that this Diwali has been a festival of prosperity and economic confidence. Experts believe that this momentum will continue into the upcoming winter and wedding seasons.
