India retail sales rise 8% in July as footwear growth reaches 13%

Retailers Association of India’s Business Survey reports 8% year-on-year retail sales growth in July 2026. Footwear led fashion-category gains, rising 13% after 8% growth in June, while apparel and clothing sales increased 12%.

— Source publishedTue, 25 Aug, 2026, 18:41 IST·First seen Tue, 25 Aug, 2026, 18:54 IST·Source Apparel Resources India

What happened

Retailers Association of India (RAI) · India’s retail sales grew 8% year-on-year in July 2026, RAI’s Business Survey found. Footwear led fashion-category growth

Key facts

  • India retail sales: 8% year-on-year growth in July 2026
  • Footwear sales: 13% growth in July 2026
  • Apparel and clothing sales: 12% growth in July 2026
  • Footwear sales growth in June 2026: 8%

Why this matters

Footwear’s category-leading 13% growth and five-point monthly acceleration make branded footwear chains, specialty retailers, and supply-chain partners attractive targets for partnership or acquisition screening.

What to watch

  • August and September retail-sales growth by category, particularly whether footwear remains above 10% year on year.
  • Festive-season pre-orders, inventory-to-sales ratios, and retailer commentary on sell-through versus discount-led volume.
  • Same-store sales trends at listed footwear, apparel, department-store, and mall operators.
  • Consumer-finance indicators including urban wage growth, inflation, credit-card spending, and discretionary purchase confidence.
  • Gross-margin guidance, promotional intensity, and raw-material or currency-driven sourcing-cost changes.
  • Increase footwear and apparel inventory commitments for the festive and wedding-demand periods, with tighter replenishment cycles for fast-selling sizes and price points.
  • Shift merchandising and marketing budgets toward footwear, athleisure, casualwear, and accessories, where cross-selling can lift basket value.
  • Use the July demand signal to negotiate better vendor terms and secure capacity, while avoiding broad-based inventory accumulation in slower fashion subcategories.
  • Monitor discount depth closely: retailers with sustained growth at stable realized prices are more likely to convert sales momentum into margin expansion.
  • Accelerate omnichannel fulfillment and store-level assortment localization, especially in high-growth urban and tier-2 markets.