Durga Puja Shopping Slows in Bengal as Consumers Await GST Rate Cuts

Kolkata: With Durga Puja barely a fortnight away, Bengal’s markets remain subdued as shoppers hold back purchases, awaiting the GST rate reductions that take effect on September 22, the first day of Navratri.

Retailers across automobiles, electronics, and apparel sectors reported a significant dip in sales compared with the usual pre-festival rush. Consumers are visiting stores but deferring purchases to capitalise on lower prices once the revised GST rates are implemented.

For auto dealers, the slowdown resembles a “lull before the storm.” Customers are placing token bookings but asking dealers to generate invoices and schedule deliveries only after September 22. Various categories of cars are expected to become cheaper by ₹35,000 to ₹10 lakh, following the GST cut.

Sales of electronic appliances such as washing machines, ACs, and LED TVs have dropped by nearly 30%, while the garment sector is also witnessing sluggish demand.

“Customers are walking into our stores but avoiding purchases. We anticipate a rush starting September 22,” said Abhishek Jain, Director of Sales Emporium.

The GST Council on September 3 slashed tax on garments priced up to ₹2,500 from 12% to 5%, while the rate for small cars and household appliances was reduced from 28% to 18%.

Anticipating a surge in deliveries and registrations post-September 22, the Federation of Automobile Dealers Associations (FADA) has urged dealers to strengthen back-end operations.

“Bookings have increased in the past few days, but most customers want billing and delivery after September 22 to avail full benefits. Dealers must prepare for a massive spike in demand,” said Rohit Chowdhury, State Chairperson, FADA.

Retail leaders across sectors echoed similar concerns.

• Sushil Poddar, President of the Confederation of West Bengal Trade Associations, noted that sales of almost all products, barring daily essentials, have slowed.

• Pulkit Baid, Director of Great Eastern Retail, said despite proactive price adjustments, sales are down 30%. “Customers prefer to wait for a clearer idea of the post-GST price bands,” he said.

• Apparel retailer Lalit Agarwal of V-Mart added that the current “de-growth phase” could last another 10-12 days before momentum picks up.

Shoppers, meanwhile, remain patient. “I’ll buy an LED TV after September 22 to benefit from the new rates,” said Madhuri Baid, a Kolkata resident.

With Durga Puja being Bengal’s biggest festival, retailers are now bracing for a sudden shopping surge as consumers make the most of GST 2.0’s festival-season rollout.