Anticipating a significant uptick in consumer spending, the Confederation of All India Traders (CAIT) has projected that the Diwali festival season in India will see sales surpassing ₹3.5 lakh crore. The consumer foot traffic has been steadily increasing, particularly following the celebration of Karva Chauth.
The Diwali festival season, which began during Navratri, is expected to be a profitable time for businesses across the country. Delhi, in particular, is expected to witness trade amounting to more than ₹35,000 crore during the festive period.
Several factors contribute to this optimism, with both the central government and the private sector playing a significant role.
According to CAIT National President BC Bhartia and Secretary General Praveen Khandelwal, the central government's recent announcement of bonuses for its employees and various state governments offering festival incentives to their workers, along with the private sector's provision of special incentives and bonuses to their employees, is expected to stimulate shopping sentiments and strengthen the Diwali festival season.
The timing, with festivities coinciding with the start of the month, is putting money in consumers' pockets, increasing their disposable income.
Bhartia and Khandelwal highlighted that the projected festival trade of over ₹3.5 lakh crore will be spread across various sectors. The spending is expected to include approximately 13% on food and groceries, 9% on jewellery, 12% on textiles and garments, 4% on dry fruits, sweets, and namkeen, 3% on home decor, 6% on cosmetics, 8% on electronics and mobiles, 3% on Pooja Samagri & Puja Items, 3% on utensils & kitchen appliances, 2% on confectionery & bakery, 8% on gift items, and 4% on furnishing & furniture.
The remaining 20% is anticipated to be allocated for the purchase of automobiles, hardware, electrical goods, toys, and various other products and services. Additionally, the packaging sector is expected to experience significant growth during Diwali.
The upcoming Diwali season includes a series of festivals, such as Ahoi Ashtami on November 5, Dhanteras on November 10, Diwali on November 12, Govardhan Puja on November 13, Bhai Dooj on November 15, Chhath Puja on November 17, and the conclusion of the Diwali festival season on November 23 with Tulsi Vivah. Merchants across the country are optimistic about a fruitful festival sale season.
Bhartia and Khandelwal noted that Prime Minister Narendra Modi's recent appeal to the country to buy One District One Product (ODOP) and locally made goods during festivals has had a significant impact.
Additionally, CAIT has issued an advisory to trade organisations nationwide, encouraging them to collaborate with local manufacturers, artisans, and artists in their respective cities to showcase a tableau of a self-reliant India during the Diwali festival. This emphasis on supporting local businesses and products is expected to further boost the festive shopping spree and promote economic growth in India.
(Edited by : Pihu Yadav)
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