The Retailers Association of India (RAI) has recorded an 11% rise in sales during the 87-day festive period from 1st August to 26th October 2025, compared with 9th August to 3rd November 2024. The organisation said the increase reflects a clear uplift in consumption under the GST Bachat Mahotsav framework.
Findings from RAI’s 66th Retail Business Survey show that consumers were more responsive to value-led categories positioned in lower GST brackets. Apparel and footwear priced under Rs. 2,500 (US $ 28), both taxed at 12%, saw stronger demand, while premium apparel priced above Rs. 2,500 (US $ 28)—now taxed at 18% instead of 12%—experienced softer sales.
Category-wise, footwear sales grew by 12%, while apparel rose by 9%. Regionally, West India led with 13% growth, followed by North and East India at 10% each, and South India at 9%, indicating broad-based consumption across the country.
RAI chief executive Kumar Rajagopalan stated that the year began with growth of 4–5%, rising to 7–8% between April and July. He said the GST Bachat Mahotsav had boosted festive-season sales into double digits. According to him, value-focused segments such as apparel under Rs. 2,500 (US $ 28) and footwear within the 12% GST slab continued to perform well, while apparel priced above Rs. 2,500 (US $ 28)—now subject to 18% GST—saw comparatively weaker traction. He added that this trend suggests consumers remained active but exercised selectivity in higher-priced discretionary categories, and that the industry will closely observe whether these preferences persist through the wedding and end-of-season periods.
