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India’s retail sector posts 10% Y-o-Y growth in August: RAI survey
Sep-24-2026

A survey by the Retail Association of India (RAI) has said that India’s retail sector maintained a steady trajectory in August 2026, registering a 10 per cent year-on-year (Y-o-Y) growth across the country. It said building on July's strong recovery, stable consumer demand across key regions and categories indicates strong industry preparation for the upcoming festive peak. It said, for August 2026, regional sales growth remained consistent across the country at 10 per cent, led by an 11 per cent growth in West India, which outperformed other zones. South India followed closely at 10 per cent, matching the national average while East India and North India delivered stable growth trajectories during the month, registering 8 per cent and 9 per cent growth, respectively.

It stated that essential and routine categories remained the key drivers of growth, led by quick service restaurants (QSRs) at 15 per cent, while food and grocery grew by 12 per cent in the previous month. Lifestyle segments such as apparel (10 per cent) and footwear (8 per cent) maintained steady expansion, whereas consumer durables and electronics stabilised around 7 per cent, following an earlier peak in April. It said growth had softened after April, when it stood at 7 per cent, dipping to a low of 5 per cent in May. It has climbed every month since, with June registering 6 per cent, July seeing 8 per cent, and 10 per cent in August. 

Kumar Rajagopalan, Executive Director and CEO at RAI, said ‘While momentum softened following April, we have seen a clear and encouraging rebound since July. August's strong performance serves as a promising prelude to the upcoming festive season, and our focus now turns to precise execution and inventory planning to capture seasonal demand’. He added while India's internal consumption story remains resilient, RAI maintain a measured and cautious approach in light of broader global macroeconomic conditions. 


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