New Delhi — India’s Holi celebrations are fueling a massive economic surge. Praveen Khandelwal, secretary general of the Confederation of All India Traders (CAIT) and a BJP parliamentarian, predicts nationwide trade will exceed ₹80,000 crore this year.

That total represents sharp growth. Last Holi generated an estimated ₹60,000 crore, Khandelwal noted. The 25% increase stems from strong consumer demand for festival goods across the country.

Khandelwal credits Prime Minister Narendra Modi’s ‘Vocal for Local’ push. Indian-made products now dominate markets, he said. Shoppers favor domestic sweets, colors, herbs and apparel over imports.

CAIT tracks trade volumes closely during major festivals. Holi spending spikes in urban centers like Delhi, Mumbai and Kolkata. Rural markets also contribute significantly, with villagers buying pucca colors and traditional sweets.

Key categories drive the boom. Thandai ingredients, herbal colors and ethnic wear lead sales. Footwear and decorative items follow close behind. Traders report busy wholesale markets since early March.

“The appeal of PM Modi has shifted preferences decisively,” Khandelwal told reporters. He pointed to reduced imports as a key factor. Local manufacturers ramped up production to meet demand.

Festivities peak on March 25, a Monday this year. Extended weekends boost shopping. Families stock up on gujiyas, mathri and other Holi staples. Street vendors and e-commerce platforms see heavy traffic.

CAIT represents over 70 million traders. The group often highlights festival economics. Diwali trade topped ₹3 lakh crore last year, setting a high bar. Holi now rivals that momentum.

Challenges persist. Some traders face logistics hurdles from recent rains in northern states. Still, optimism runs high. Khandelwal expects the final tally could climb even higher with last-minute purchases.

Government data supports the trend. Consumer spending rose 8% year-on-year in February, officials said. Festive demand accelerates that pace. Economists watch Holi as an early indicator for summer trade.