New Delhi, October 18 (IANS). According to industry estimates, the recent cut in GST rates has led to a surge in purchasing across the country, making Navratri sales in the automobile, consumer electronics and e-commerce sectors one of the largest in the last several years.
Analysts have estimated the business during the festive and wedding season to be more than Rs 7 lakh crore.
According to industry data, digital payments jumped tenfold overnight from Rs 1.18 lakh crore on September 21 to Rs 11.31 lakh crore on September 22 as buyers raced to take advantage of GST savings.
Festive sales in Delhi are estimated at Rs 75,000 crore, while Ahmedabad saw nearly 10 per cent rise in demand for cotton clothes following the cut in GST on clothes priced below Rs 2,500.
GST reforms gave a huge boost to the automotive and consumer durables sectors.
The Federation of Automobile Dealers Association (FADA) reported a 34 per cent year-on-year growth in auto sales during Navratri, the highest ever.
Maruti Suzuki India doubled its sales compared to last year and delivered 1,65,000 cars in eight days, including a record 30,000 vehicles on Ashtami, while the footfall at the two-wheeler maker’s showrooms doubled.
According to industry estimates, consumer durables sales grew by 40-45 per cent due to premium product categories. All major consumer electronics brands and dealers saw strong double-digit growth.
E-commerce platforms also emerged as one of the biggest beneficiaries of the festive GST cut, as Amazon India reported 29 per cent growth in same-day and next-day delivery in metropolitan areas and 37 per cent growth in two-day delivery in tier-2 and tier-3 cities.
Sentiment reflected consumer momentum and the Nifty 50 hit a fresh 52-week high of 25,709 supported by strong foreign investment, strong rupee and festive demand, the report said.
Lower taxes on essential and consumer goods have eased household budgets and activated local supply chains, thereby promoting made-in-India products in the markets.
–IANS
SKT/