The Expectations of a consumption booster large enough to trigger a robust investment cycle from the massive goods and services tax (GST) cuts have crept higher with the Navratri sales this season being the highest in a decade, government sources said on Friday.
The next-generation GST reforms, unveiled on September 22, slashed tax rates and made a wide range of products more affordable, giving an immediate push to sales – particularly in durables and auto-mobiles – according to data shared by top corporates.
These measures not only lowered prices but also unlocked consumer aspirations, enabling families to upgrade vehicles, invest in home appliances, and spend more freely on lifestyle goods, turning festive cheer into “record-breaking” consumption, the sources said.
Navratri festival commenced on September 22, coinciding with GST cuts and hundreds or items, and concluded on October 2.
Car maker Maruti Suzuki’s Navratri reported a doubling of sales from the last year’s levels during this Navratri period, which was also the best-ever in at least a decade. The company reported 3,50,000 bookings with nearly 250,000 pending. By the end of this Navratri period, it was confident of touching the 2,00,000 mark in delivering of vehicles. The retail sales of the company were 85,000 units last Navratri.
Maruti Suzuki delivered as much as 165000 vehicles in the first eight days of Navratri. On day 1 of the festival, it delivered a record 30,000 cars, its best single-day performance in 35 years.
Mahindra& Mahindra which sells popular SUVs such as XUV700 and Scorpio N, saw retails jump 60% on-year. Hyundai reported robust momentum as SUVs like the Creta and Venue pushed the segment’s share of its total sales above 27%.
Hero MotoCorp reported that showroom footfalls doubled this Navratri, particularly in the commuter bike segment. Tata motors retailed more than 50,000 vehicles during the festive period, with demand from Altroz, Punch, Nexon and Tiago models.
Bajaj Auto also reported strong sales during Navratri.
In the consumer electronics space, LG, Haier, and Godrej Appliances registered high double-digit growth compared to last Navratri.
Haier sales urged 8% nearly exhausting its Diwali stock of premium 85-inch and 100-inch television priced above Rs. 2.5 lakh. The company also sold 300-350 units of 65-inch TVs daily during the period.
Reliance Retail, India’s largest retailer, saw sales climb 20-25%, with large-screen TVs, smartphones, and fashion driving growth. Electronics chain Vijay Sales reported over 20% sales growth.
LG Electronic India also noted “exponential growth” in sales this Navratri season. Brands and retailers reported sales growth ranging from 25% to 100%, marking a major boost for India’s consumption-driven economy , the sources added.
The first half of the festive season, spanning Onam, Durga Puja, and Dussehra accounts for 40 to 45% of total festive sales making it the largest consumption period in the country.
Source: Financial Express
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