March, April, and May have been excellent months for the retailer. There has been a sales bonanza like one he has a vague recollection of, from the good old days. Air conditioner brands have run out of inventory and entered into shortages, deliveries are being delayed, and manufacturing facilities are busy. The impact of spillover in demand is being felt by air coolers too. The movement of refrigerators on retail counters has been brisk, as also of TV sets. Mother Nature, manifested through an early onset of summer and soaring temperatures between March and June, especially in North India, can take credit for most of this.
This trend is expected to continue till early July. After back-to-back droughts battering farmers, a forecast of timely, adequate, and well-distributed rainfall will unleash deferred rural spending. However, its full impact may be felt only during the upcoming Diwali season.
The young Indian viewer is high on sports events. T20 and Indian Premier League have him glued to the television set. Olympics scheduled from August 5 to 21 in Rio de Janeiro will provide impetus to demand too. The first match of 32, being played at the Olympic Football Tournaments, is scheduled for August 3. Sports buffs will also keep tabs on tennis tournaments with the French Open, being held in May, Wimbledon in June, and US Open in August-September.
The Make in India initiative may see assembly plants for consumer electronic components being set up, if Hong Kong steps up its program of exchange and understanding between the two countries and signs off on the Double Taxation Agreement and Investment Protection Treaty as announced.
This buoyancy may not be restricted to the Indian region. Over the next decade, the Asia-Pacific is forecast to be the fastest growing region of the global economy. Poised at an average annual growth rate of 4.5 percent per year, it is pushed by rapid growth in consumer spending in China, India, and Southeast Asia. A key source of strength is the rapidly growing size of the economic region, which now accounts for around one-third of world GDP, generating strong intra-regional trade and investment flows.