Retail sales in India saw a modest 3 per cent growth in May 2024 compared to the same period last year, according to the Retail Business Survey by the Retailers Association of India (RAI).
Kumar Rajagopalan, CEO of RAI, noted that while consumer spending on non-essentials remains cautious, food, grocery, and consumer durables are experiencing positive trends.
Retailers are hopeful that the upcoming budget in July will provide incentives to boost consumer confidence and drive further growth in the sector.
South India led retail growth in May 2024 with a 4 per cent increase, followed by East and West India at 3 per cent, and North India at 2 per cent. Food & grocery and consumer durables/electronics grew 6 per cent each, while Quick Service Restaurants saw a 5 per cent rise compared to May 2023.
Retailers are optimistic about the post-election season and anticipate that the budget will offer the necessary support to sustain and enhance this growth trajectory.
