India’s recent goods and services tax (GST) cuts are expected to boost e-commerce sales by 15–20 per cent in high-value categories such as electronics, according to industry executives, as the government’s tax rationalisation encourages consumer spending ahead of the festive shopping season.
E-commerce and quick-commerce companies are anticipating an additional surge in demand on top of already strong festive season projections. Executives said the tax reforms could create a “multiplier effect” across consumer categories ranging from fast-moving consumer goods to local manufacturing.
The GST restructuring, implemented by Prime Minister Narendra Modi’s government, is aimed at spurring domestic consumption and reducing India’s dependence on global trade fluctuations as part of the country’s self-reliance strategy, industry leaders said.
