New Delhi: Prime Minister Narendra Modi on Sunday said demand for locally-made or swadeshi products has surged this festive season, with savings from goods and services tax cuts adding to the momentum. In his Mann Ki Baat radio address, he said there was a "tremendous" growth in the purchase of indigenous goods under the 'GST Bachat Utsav', reflecting the success of his 'Vocal for Local' campaign.

His remarks come amid record Diwali sales of ₹6.05 trillion—the highest ever, according to the Confederation of All India Traders (CAIT) on 21 October—with 87% of consumers opting for Indian-made goods over imports.

Festive demand

"There is a lot of enthusiasm among people regarding the GST Bachat Utsav. This time, something equally pleasant was observed during the festivals. The purchase of indigenous goods in the markets has increased tremendously," the prime minister said in his monthly radio address to the nation.

The renewed swadeshi pitch coincides with India's strained trade ties with the US, after President Donald Trump imposed a 50% tariff on Indian exports.

In his Independence Day address on 15 August and also in the 125th episode of the radio broadcast on 31 August, the prime minister had urged citizens to embrace swadeshi during the festivals season to back local industries, drive jobs and economic self-reliance.

"The prime minister's call for 'vocal for local' and 'Swadeshi Diwali" resonated deeply with the public, as 87% of consumers preferred Indian-made goods over imported products, resulting in a sharp decline in demand for Chinese items," said Praveen Khandelwal, Delhi's Chandni Chowk member of parliament and secretary general of CAIT in a statement. Traders reported a 25% surge in sales of Indian-manufactured products compared to last year, according to CAIT.