The chart estimates the total value of rural household consumption in India. The figures are derived from the government’s Household Consumption Expenditure Survey. The bars show the estimated size of the market, while the line shows the annual rate of nominal growth.

The figures from 2025 onwards are forecasts. They assume that rural demand will continue to benefit from higher farm and non-farm incomes, government spending, easier credit and demand for products such as motorcycles and tractors. Growth is expected to moderate in 2026 because of an uneven monsoon and the high base created by strong recent sales. It should strengthen again in 2027, assuming a more normal agricultural cycle and no sharp increase in food, fuel or fertiliser prices. The small ranges shown on the forecast bars reflect the uncertainty surrounding rainfall, inflation, rural wages and agricultural prices.