India's value retail can reach $170 bn by 2026

This segment is set to grow at CAGR of 15% till 2026, says report

- Suneera Tandon

India’s value retail market, excluding food and grocery, will likely surge to $170 billion by 2026 from $111 billion in FY23, as per a report by Wazir Advisors. This segment is set to grow at a compound annual growth rate (CAGR) of 15% between 2023 and 2026, surpassing the overall retail sector's expected 10% CAGR, which is projected to reach $1,219 billion by FY26.

Apparel leads the value retail category, followed by furniture, beauty and personal care, and footwear. The Indian market has witnessed the entrance and expansion of major value retailers, particularly in smaller cities. 

Following Trent’s Zudio's success, numerous large retailers like Reliance Retail’s Yousta, Aditya Birla Fashion & Retail Ltd’s Style-Up, and Shoppers Stop’s InTune have ventured into the value apparel sector, focusing on affordable clothing, footwear, and accessories.