New Delhi: India’s consumption and economic activity, because of strong domestic demand momentum, remained robust in early period of FY27, with goods taxable supply rising 27 per cent and services expanding 22.2 per cent in April, according to data from government sources on Monday.
Taxable supply across goods sectors grew 26.9 per cent year-on-year to Rs 40.10 lakh crore in April 2026 from Rs 31.61 lakh crore a year ago, with all 27 commodity groups registering positive growth, according to the data.
The data of April — reported in GST returns filed during May — showed that growth remained broad-based across agriculture, manufacturing, chemicals, metals, electronics, automobiles and consumer goods.
In addition, sectors such as gold and precious metals recorded a 46.9 per cent rise in taxable supply, while electric machinery and electronic appliances grew 34.1 per cent.
Telecom equipment expanded 24.6 per cent, passenger vehicles and buses rose 21.3 per cent, while prepared food products registered a growth of 27.1 per cent, the data showed.
Meanwhile, the services sector also maintained strong momentum, with taxable supply increasing 22.2 per cent year-on-year to Rs 11.50 lakh crore from Rs 9.41 lakh crore in the corresponding period last year.
Major categories such as real estate, construction, transport, professional services and hospitality recorded positive growth during the month.
Real estate services posted a sharp 50 per cent increase, while transport, postal and courier services expanded 21.3 per cent.
Similarly, accommodation, food and beverage services recorded growth of 41.6 per cent.
The strong performance in both goods and services suggests that domestic demand growth remains broad-based rather than concentrated in a few sectors.
Besides, IGST collections on imports increased more than 20 per cent year-on-year during May.
Moreover, electronic components emerged among the strongest contributors, with imports of processing units rising 387 per cent and memory chips increasing 205 per cent.
Additionally, the growth momentum was visible in import-related tax collections, with IGST on imports rising more than 20 per cent in May. Coal alone accounted for over 8 per cent of incremental IGST growth, while processing units and memory chips recorded growth of 387 per cent and 205 per cent, respectively.
(IANS)
