In February 2025, retailers in India experienced a sales growth of 4 percent compared to the same month last year, slightly lower than the 5 percent growth observed in January, according to the latest report from the Retailers Association of India (RAI). This growth was primarily driven by the food and grocery sector, as well as consumer durables, though it reflects a persistently subdued consumer sentiment.
Kumar Rajagopalan, CEO of RAI, stated, “The retail sector in India recorded a modest 4 percent increase year-on-year for February 2025. Specific segments, including food and grocery, quick-service restaurants (QSR), and consumer durables, have shown positive trends. Retailers are concentrating on maintaining their profit margins, and enhancing stock management has become a significant focus. Amid global tariff changes and economic uncertainty, the industry is displaying signs of gradual adaptation rather than expansive growth.”
According to RAI’s retail survey, retailers in northern India saw a 5 percent rise in sales in February 2025 compared to the previous year. Retailers in western India reported a 4 percent increase, while those in southern India also experienced a growth of 4 percent. In contrast, the eastern region of the country recorded only a 2 percent increase in sales.
When analyzing specific categories, food and grocery emerged with the highest growth at 11 percent. Both consumer durables and QSR segments achieved a 5 percent increase year-over-year. Categories such as apparel and clothing, and jewelry also saw a growth of 4 percent each. The footwear segment grew by 3 percent, while sports goods experienced a modest 2 percent growth. Furthermore, furniture and furnishings, along with beauty and wellness categories, saw a minimal increase of just 1 percent in February 2025 compared to the same time last year.
