Mumbai, Oct 22 : Diwali 2025 has not only lit up homes across India but also fueled unprecedented economic activity, setting a new benchmark for the nation’s retail sector. According to a comprehensive survey by the Confederation of All India Traders (CAIT), supported by the Prime Minister’s Office Research & Trade Development Society, India witnessed a record Rs 5.40 lakh crore in goods and Rs 65,000 crore in services traded during this festive season the highest ever in Indian retail history.
Covering 60 major markets and thousands of traders from Tier 1, 2, and 3 cities, the survey underscores the positive impact of policies promoting Swadeshi, Vocal for Local, and rational GST reforms under Prime Minister Narendra Modi’s leadership.
Compared to last year’s Rs 4.25 lakh crore, this year’s Diwali trade saw a 25% increase, reflecting stronger consumer sentiment, enhanced purchasing power, and the benefits of GST rate reductions across key categories like garments, footwear, confectionery, and home décor.
The survey also highlighted a growing preference for Indian made products, with 87% of buyers choosing domestic goods over imports. Sales of Chinese products saw a decline, while Indian manufacturers enjoyed an average 25% increase in sales compared to 2024, signaling that the Swadeshi movement has evolved into a powerful economic driver for Aatmanirbhar Bharat.
The CAIT report further noted that nearly 50 lakh temporary jobs were created across logistics, packaging, transportation, hospitality, and delivery services, benefiting small and medium enterprises. Rural and semi urban India contributed around 28% of total sales, showcasing truly inclusive economic growth.
Trader Confidence Index rose from 7.8 to 8.6, while the Consumer Confidence Index increased to 8.4, reflecting widespread optimism about India’s retail economy. Experts say this surge demonstrates the resilience of the sector and the trust placed in millions of small traders the backbone of the nation’s economy.
This record-breaking Diwali highlights how India’s festivals are evolving into celebrations of economic growth, seamlessly combining tradition with market expansion. Under PM Modi’s leadership, the festive season has become a showcase of Swadeshi values, progressive reforms, and the strength of Aatmanirbhar Bharat, driving India’s largest-ever festival of prosperity.