Statistics, news & updates: everything you need to know about the Retail Industry in India


  • Summary
  • COVID-19 Impact
  • Industry Clusters
  • Growth Drivers
  • Key Players
  • Market Stats


  • Apparel
  • Fashion Accessories
  • Food & Beverage
  • Footwear
  • Furniture & Furnishing
  • Kitchenware & Tableware
  • School & Office Supplies


The Retail market in India has undergone a major transformation. In fact, it has witnessed tremendous growth in the last 10 years. India is largely an unorganized retail market, contributing 88% to the total retail sector in India.
The organized retail market is currently valued at $ 60 billion, while the unorganized market holds the rest. Organized retailing in India, refers to trading activities undertaken by licensed retailers, that is, those who are registered for sales tax, income tax, etc. These include the publicly traded supermarkets, corporate-backed hypermarkets and retail chains. Unorganized retailing, on the other hand, refers to the traditional formats of low-cost retailing. Most Indian shopping happens in open markets or numerous small grocery and retail shops.

The Indian Government has permitted 100% FDI in the single-brand retail and 51% in multi-brand retail. This move will further accelerate the Retail Industry. Due to the entry of several new players, the Indian retail industry has emerged as a dynamic and fast-paced industry.

COVID-19 Impact

Retailing has been among the sectors hardest hit by the Covid-19 outbreak. According to the Retailers Association of India (RAI), only 7-8% of the retail industry is functioning at the moment. In fact, these are just selling essential items.

According to the Confederation of All India Traders (CAIT), the country’s retail sector undertakes a monthly business of about USD 70 billion (approximately Rs. 5.2 lakh crore). It comprises of 70 million small, medium and big traders employing 450 million people. To summarise, this sector is one of the hardest hit due to the global pandemic.

The short-term impact of the coronavirus pandemic on retailers in the country will be severe. However, the retail sales recovery period for India is expected to kick-start. It would take at least 9-12 months for India’s retail industry to recover from the impact of the COVID-19 pandemic.

Map – Industry Clusters

Retail Industry Map India

Growth Drivers

  • Retail is India’s largest industry, currently accounting for over 10% of the country’s GDP. It accounts for 8% of total employment.
  • Revenue generated from online retail is projected to grow to US$ 60 billion by 2020.
  • The Overall Retail market is set to cross the $ 1.7 trillion mark by 2020 from $ 795 billion in 2017.
  • Factors that make India so attractive include the second largest population in the world, increasing urbanization, rising household incomes, connected rural consumers and increasing consumer spending.
  • Recent policy changes allow 100% FDI under the automatic route for single-brand retail trading.

Key Players in India


  • Walmart, Metro AG, Amazon, Target Corporation, Best buy Co, Ikea Retail


  • Lifestyle, Pantaloons, Shopper’s Stop, Bata India, V Mart, Cantabil, Reliance fresh, Future retail, Trent, Spencers, Big Bazaar

Market Stats

  • Indian retail market is projected to reach $ 1.75 trillion by 2026.
  • The retail industry reached US$ 950 billion in 2018 at CAGR of 13 per cent.
  • India ranked number 2 in the Global Retail Development Index (GRDI) in 2019.
  • India is the world’s fifth-largest global destination in the retail space.
  • India’s retail sector investments doubled to reach $ 180.18 million in 2018.
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