Big setback for China! Diwali sales cross Rs 72,000 cr, Chinese traders suffer Rs 40,000 cr loss

Chinese traders have suffered a massive financial loss during Diwali, according to sales data released by the Confederation of All India Traders (CAIT) on Sunday (November 15). CAIT said the sales during the Diwali festive season jumped as high as Rs 72,000 crore across major markets in the country despite a total boycott of the Chinese items. It is expected that Chinese exporters suffered losses with Rs 40000 crore this Diwali season amid boycott call by Indian sellers. 

It is to be noted that CAIT had issued a call to boycott the Chinese products following the tension between India and China at the Line of Actual Control (LAC) in Eastern Ladakh. 

"As per reports gathered from 20 different cities which are also considered to be the leading distribution centres of India, it is expected that Diwali festive sales generated a turnover of about Rs 72,000 crores and gave China the expected loss of Rs 40,000 crore," CAIT said in a statement. 

The consumers spent big on fast-moving consumer goods (FMCG), consumer durables, toys, electrical appliances and goods, electronic appliances and white goods, kitchen articles and accessories, gift items, confectionary items, sweets, home furnishing, tapestry, utensils, gold and jewellery, footwear, watches, furniture, fixtures, garments, fashion apparels, cloth and home decoration goods. 

According to CAIT, the robust sales during Diwali festive season indicate 'good business prospects in the future'. 

Delhi, Mumbai, Chennai, Bengaluru, Hyderabad, Kolkata, Nagpur, Raipur, Bhubaneswar, Ranchi, Bhopal, Lucknow, Kanpur, Noida, Jammu, Ahmadabad, Surat, Cochin, Jaipur, Chandigarh are considered as 'distribution cities' by the CAIT for the purpose of its surveys. 

The sales come as a positive for the Indian economy. The country could return to growth in the ongoing quarter ending December 2020 if the "momentum" gained in September and October is sustained, the RBI said this week. The central bank said there was "optimism that the revival of economic activity is stronger than the mere satiation of pent-up demand," adding that similar consumption patterns could ensure a return to growth earlier than expected.