Improvement in June’s retail sales

Data from the Retailers Association of India (RAI) has shown that from minus 79% growth in monthly sales in May vis-a-vis May 2019, the situation has improved as contraction narrowed down to minus 50% in June. In other words, the slump in the retail sector due to COVID-19 in comparison to the pre-pandemic scenario has reduced. Further, retail sales improved from 21% in May to 50% in June of pre-pandemic levels.

“To get this rectified, the only change this time from last year is the availability of vaccines. If vaccination drive picks up, things can recover really fast just like how it is happening in the US or the UK. But if it continues the way it is, recovery is expected to be delayed,” Kumar Rajagopalan, CEO, RAI commented.

The results were based on a monthly survey of a sample set of 88 retailers by RAI. The sectors closer to June 2019 level recovery were food and grocery with only -7% decline and QSR with only -10% contraction. On the other hand, the sectors experiencing the highest dip in June were sports goods (-66%), jewellery (-64%), footwear (-61%),  beauty, wellness, & personal care (-57%), and apparel and clothing (-52%).

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