- Title: India festival spending booms despite inflation worries, global slowdown
- Date: 14th October 2022
- Summary: NEW DELHI, INDIA (OCTOBER 13, 2022) (ANI - No use India) VARIOUS OF CROWDS AT SAROJINI NAGAR MARKET MUMBAI, MAHARASHTRA, INDIA (RECENT - OCTOBER 11, 2022) (ANI - No use India) JEWELLERY STORE WOMAN TRYING ON GOLD NECKLACE VARIOUS OF MAN AND WOMAN TRYING GOLD RINGS WOMEN AT JEWELLERY COUNTER VARIOUS OF GOLD NECKLACES ON DISPLAY (SOUNDBITE) (Hindi) CHAIRMAN AT ALL INDIA GEMS AND JEWELLERY DOMESTIC COUNCIL, ASHISH PETHE, SAYING: "Customers are coming in large numbers and the rate of gold jewellery is within the range of 50,000 rupees ($607). For people, this rate of gold is a buying opportunity and people are excited because of the price range. Also, in the Hindu culture, people usually buy gold for festivals like Dussehra and Diwali." INDORE, MADHYA PRADESH, INDIA (RECENT - OCTOBER 12, 2022) (ANI - No use India) VARIOUS OF CAR DRIVING AWAY FROM AUTOMOBILE SHOWROOM PEOPLE WALKING OUTSIDE SHOWROOM SHOWROOM EMPLOYEE EXPLAINING CAR FEATURES TO CUSTOMERS VARIOUS OF CUSTOMERS SEATED IN SHOWROOM (SOUNDBITE) (Hindi) CUSTOMER, KALYAN SINGH, SAYING: "We will use the small car for smaller purposes and bigger car for heavy purposes. The income of people is increasing and so are their cars." CAR DRIVING AWAY FROM AUTOMOBILE SHOWROOM CUSTOMERS TAKING SELFIE WITH NEW CAR CHANDIGARH, INDIA (RECENT - OCTOBER 12, 2022) (ANI - No use India) VARIOUS OF CLOTHES ON DISPLAY VARIOUS OF CUSTOMERS INSPECTING CLOTHES (SOUNDBITE) (Hindi/English) FASHION DESIGNER, JASHAN, SAYING: "Now, post-pandemic, we feel nice to see the market and sales reviving and we hope that the future will be good for us. The market is picking up momentum, especially during the festival season of Diwali and 'Karwa Chauth'. In the last few years, we used to see a sale growth of only 30-40 per cent and now we are seeing very good growth." SHIMLA, HIMACHAL PRADESH, INDIA (RECENT - OCTOBER 12, 2022) (ANI - No use India) HOUSES ON HILLSIDE TOURISTS WALKING WITH THEIR LUGGAGE TOURISTS PUTTING LUGGAGE INTO TRUNK OF CAR (SOUNDBITE) (English) TOURIST, ARPITA CHATTERJEE, SAYING: "In the past two years, we were all isolated, secluded. We lived inside our homes, home locked. So, it really feels very good to come here and also (for) the business also, many people, they were very affected. Now everything is hopefully okay." VARIOUS OF CROWDS AT SQUARE
- Embargoed: 28th October 2022 10:01
- Keywords: ASIA / PACIFIC CONSUMERS COVID-19 ECONOMIC INDICATORS ECONOMIC NEWS ECONOMY EMERGING MARKET COUNTRIES INDIA RETAIL SALES TRAVEL
- Location: NEW DELHI, MUMBAI, INDORE, CHANDIGARH, SHIMLA, INDIA
- City: NEW DELHI, MUMBAI, INDORE, CHANDIGARH, SHIMLA, INDIA
- Country: India
- Topics: Asia / Pacific,Economic Events
- Reuters ID: LVA001220114102022RP1
- Aspect Ratio: 16:9
- Story Text: Indian consumers are lapping up everything from cars, houses and television sets to travel and jewellery in the festive season that began last month, according to early data, giving a fillip to growth prospects despite economic gloom elsewhere in the world.
Online and offline sales during the Hindu festival period starting in the last week of September and lasting until early November are estimated to cross $27 billion, almost double the amount in the same pre-COVID period in 2019, and nearly 25% higher than last year, according to industry estimates. The sales would include nearly $15.2 billion offline sales, compared to about $8.5 billion in 2019, according to the Confederation of All India Traders (CAIT).
"Customers are coming in large numbers†Chairman at All India Gems and Jewellery Domestic Council, Ashish Pethe told Reuters. He added that “in the Hindu culture, people usually buy gold on festivals like Dussehra and Diwali."
Retail sales always peak during October-November, when the nation of 1.4 billion celebrates the major festivals of Dussehra and Diwali. It's also an auspicious time of year to get married, according to Hindu belief.
Auto sales rose 57% during the nine most auspicious days in the Hindu calendar this month compared to last year, and were nearly one-fifth higher compared to the pre-pandemic period in 2019, according to the Federation of Automobile Dealers Associations.
Travel in India, like much of the rest of the world, is also seeing an uptick. The latest data released by the travel search engine ‘KAYAK’ reveals that flight searches from Indian airports have increased by 118% as compared to pre-pandemic levels. "In the past two years, we were all isolated, secluded. We lived inside our homes, home locked. So, it really feels very good to come here†a tourist travelling to Shimla said.
The industry leaders say the surge this year is much larger, mainly due to pent-up demand as COVID-19 recedes after two years of devastating the country, as well as a rise in wages and an increase in jobs as the economy recovers.
The boom in India comes despite economic challenges elsewhere in the world, with broadening inflation in the aftermath of the Russia-Ukraine war and sharply higher interest rates. The retail boom is also a boon for the government - goods and services tax collections, a barometer of consumer demand, rose 26% year-on-year in September, data showed.
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