India’s retail market lit up brighter than ever this Diwali. According to the Confederation of All India Traders (CAIT), sales during Diwali 2025 touched a record ₹6.05 lakh crore, marking the highest festive sales ever recorded in the country.
CAIT said that the 2025 Diwali shopping season saw unprecedented consumer spending across metros and smaller towns. Retailers experienced strong footfall starting from Dhanteras to Bhai Dooj, fueled by salary bonuses, festive discounts, and rising consumer confidence.
“The market sentiment was highly positive this year, and customers preferred Indian-made goods over imported ones,” said Praveen Khandelwal, CAIT Secretary-General.
E-commerce and Offline Stores Both Shine
While e-commerce platforms like Amazon, Flipkart, and Meesho recorded massive online traffic, offline stores still dominated sales, accounting for nearly 80% of total purchases.
Jewellery and automobile sectors saw double-digit growth, while home appliances and smartphones recorded the highest-ever festive sales volume in a single season.
Shift Towards Local and Sustainable Choices
CAIT highlighted that ‘Vocal for Local’ campaigns had a major impact, with domestic products gaining strong traction. Eco-friendly lighting, organic sweets, and sustainable décor items were particularly popular this year.
Experts believe this trend marks a long-term shift in India’s retail economy, with growing pride in homegrown brands and digital payment adoption boosting the formal retail ecosystem.
Looking Ahead
Analysts expect that this festive boom will strengthen GDP growth in Q3 FY26 and continue to fuel India’s retail expansion into 2026.
“India’s retail story is shining as bright as Diwali lights,” CAIT concluded.
