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Correspondent

23 August 2024 at 4:29:04 pm

Festive Surge

India’s bazaars have glittered this Diwali with the unmistakable glow of consumer confidence. The country’s festive sales crossed a staggering Rs. 6 lakh crore with goods alone accounting for Rs. 5.4 lakh crore and services contributing Rs. 65,000 crore. More remarkable still, the bulk of this spending flowed through India’s traditional markets rather than e-commerce platforms. After years of economic caution and digital dominance, Indians are once again shopping in person and buying local....

Festive Surge

India’s bazaars have glittered this Diwali with the unmistakable glow of consumer confidence. The country’s festive sales crossed a staggering Rs. 6 lakh crore with goods alone accounting for Rs. 5.4 lakh crore and services contributing Rs. 65,000 crore. More remarkable still, the bulk of this spending flowed through India’s traditional markets rather than e-commerce platforms. After years of economic caution and digital dominance, Indians are once again shopping in person and buying local. This reversal owes much to policy. The recent rationalisation of the Goods and Services Tax (GST) which trimmed rates across categories from garments to home furnishings, has given consumption a timely push. Finance Minister Nirmala Sitharaman’s September rate cuts, combined with income tax relief and easing interest rates, have strengthened household budgets just as inflation softened. The middle class, long squeezed between rising costs and stagnant wages, has found reason to spend again. Retailers report that shoppers filled their bags with everything from lab-grown diamonds and casual wear to consumer durables and décor, blurring the line between necessity and indulgence. The effect has been broad-based. According to Crisil Ratings, 40 organised apparel retailers, who together generate roughly a third of the sector’s revenue, could see growth of 13–14 percent this financial year, aided by a 200-basis-point bump from GST cuts alone. Small traders too have flourished. The Confederation of All India Traders (CAIT) estimates that 85 percent of total festive trade came from non-corporate and traditional markets, a robust comeback for brick-and-mortar retail that had been under siege from online rivals. This surge signals a subtle but significant cultural shift. The “Vocal for Local” and “Swadeshi Diwali” campaigns struck a patriotic chord, with consumers reportedly preferring Indian-made products to imported ones. Demand for Chinese goods fell sharply, while sales of Indian-manufactured products rose by a quarter over last year. For the first time in years, “buying Indian” has become both an act of economic participation and of national pride. The sectoral spread of this boom underlines its breadth. Groceries and fast-moving consumer goods accounted for 12 percent of the total, gold and jewellery 10 percent, and electronics 8 percent. Even traditionally modest categories like home furnishings, décor and confectionery recorded double-digit growth. In the smaller towns that anchor India’s consumption story, traders say stable prices and improved affordability kept registers ringing late into the festive weekend. Yet, much of this buoyancy rests on a fragile equilibrium. Inflation remains contained, and interest rates have been eased, but both could tighten again. Sustaining this spurt will require continued fiscal prudence and regulatory clarity, especially as digital commerce continues to expand its reach. Yet for now, the signs are auspicious. After years of subdued demand and inflationary unease, India’s shoppers appear to have rediscovered their appetite for consumption and their faith in domestic enterprise. The result is not only a record-breaking Diwali, but a reaffirmation of the local marketplace as the heartbeat of India’s economy.

With love for BJP Raj most watched politician

love for BJP

Mumbai: The Maharashtra Navnirman Sena (MNS) chief Raj Thackeray is one of the closely watched politicians in this election especially after his open praise for the BJP.


Thackeray’s association with the BJP is rooted in history, dating back to the era of influential leaders like Atal Bihari Vajpayee, Lal Krishna Advani, and Pramod Mahajan. This connection is significant, especially considering his recent statements expressing a natural affinity and “comfort” with the BJP.


However, this relationship with the BJP has been evolving over the years and showed his support towards Narendra Modi’s prime ministerial candidacy in 2014 but later criticised the party’s unfulfilled promises, even leading a “Modi-mukt Bharat” campaign in 2019. However, he has now seemingly aligned with the BJP, sharing the stage with PM Modi and campaigning for the party in the Assembly polls.


This shift is crucial, as MNS is contesting 137 seats this time with Thackeray’s son Amit making his electoral debut from the Mahim seat in Mumbai.


“I have never aligned towards Congress or any other parties, however since the beginning, I had developed relationships with the BJP. I find my comfort zone with the BJP,” he said.


Meanwhile, Thackeray has decided to contest the assembly election solo which has intensified the competition and raised concerns about a potential split in the vote share for the ruling Mahayuti coalition.


However, the BJP has announced support for a few of their candidates. In Mahim, the BJP has announced its support to Amit. In Shivadi, MNS leader Bala Nandgaonkar is the sole contender with the ruling coalition’s support.


The MNS has fielded candidates in 12 constituencies where Shiv Sena led by Eknath Shinde is in the fray. The party’s candidates are facing BJP in 10 constituencies.


Thackeray emphasised that he is fighting the assembly polls to showcase his party’s strength. ‘‘For the Vidhan Sabha (State Assembly) elections, we will focus on strengthening our party following which I had instructed all party workers to work for the upcoming assembly election,” said Raj.

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