Retailers clocked 8 per cent sales growth in September reflecting positive

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October and November will offer a clearer picture of consumer demand as per the CEO of RAI

By Meenakshi Verma Ambwani

Updated - October 22, 2026 at 07:17 PM. | New Delhi

West India led regional sales growth at 10 per cent, followed by South India at 9 per cent. North India recorded 7 per cent growth, while East India registered 5 per cent | Photo Credit: BALACHANDAR L

Retailers clocked an average sales growth of 8 per cent in September, reflecting positive consumer demand ahead of the Diwali festivities season, according to estimates by the Retailers Association of India (RAI). The growth was led by quick-service restaurants, food and grocery, and apparel & clothing segments.

Kumar Rajagopalan, Chief Executive Officer, Retailers Association of India said, “Retail sales growth of 8 per cent in September is encouraging, particularly when viewed in the context of this year’s festive calendar. Last year, Navratri began in September, whereas this year the celebrations commenced in October, with Diwali falling in November. September’s performance therefore largely reflects pre-festive consumption, while the corresponding period last year had already seen festive buying begin. The continued growth across regions and categories provides a positive foundation for the weeks ahead.”

“A supportive policy environment, together with the retail industry’s continued focus on value, product availability and customer experience, will be important in sustaining this momentum. We remain optimistic about the festive season while recognising that October and November will provide a more complete picture of consumer demand,” he added.

Category-wise growth

In terms of categories, the quick service restaurants (QSR) segment recorded the highest growth at 11 per cent year on year. food & grocery and apparel & clothing recorded growth of 9 per cent each. Beauty, wellness & personal care and consumer durables & electronics registered 7 per cent growth each, while sports goods and jewellery grew by 6 per cent this September over the same period last year. Footwear recorded 5 per cent growth.

“Compared with August 2026, when overall retail sales grew by 10 per cent, growth rates eased across several categories. QSR growth moved from 15 per cent to 11 per cent, food & grocery from 12 per cent to 9 per cent, and apparel & clothing from 10 per cent to 9 per cent,” the industry body noted.

Region-wise growth

In terms of regions, West India led regional sales growth at 10 per cent, followed by South India at 9 per cent. North India recorded 7 per cent growth, while East India registered 5 per cent. All four regions maintained positive year-on-year growth, reflecting continued consumer spending across the country, RAI said.

“With the festive shopping period extending further into November this year, retailers will be closely watching consumer spending across discretionary and essential categories. The September findings provide a positive starting point, while the coming months will offer greater clarity on the overall strength of festive consumption," the industry body added.

Published on October 22, 2026

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