Deloitte Report Details Uneven Consumer Growth in India

Deloitte released a Consumer Signals report for India, noting that the consumer economy is showing uneven growth ahead of Diwali. While food and grocery recorded 12% year-on-year growth in July and August, jewellery sales growth moderated from over 8% to just over 4% in September. The report also noted that durables and electronics grew 7% during July and August.

The report highlights that high inflation, rising input costs, and Brent crude remaining above $110 a barrel are pressuring consumer goods companies. Additionally, higher interest rates may dampen festive-season demand for consumer durables by increasing EMI costs and making consumers more cautious.