India's E-commerce Market Projected To Reach $550 Billion By 2035: Anarock And ET Retail Report

The market size of India's e-commerce sector is estimated to jump more than four-fold to $550 billion by 2035, according to a report by Anarock and ETRetail. In 2024, the market size of the e-commerce stood at $125 billion, the report said. Real estate consultant Anarock and ETRetail released their joint report at 'The Economic Times Great India Retail Summit 2025' in Mumbai on Thursday.

"Indian e-commerce is expected to touch $550 billion by 2035, growing at a CAGR (compounded annual growth rate) of 15%. In 2024, the value of this vibrant and disruptive retail segment was estimated at $125 billion. It is likely to touch $345 billion by 2030-end," the consultant said in a statement.

Increasing internet penetration, smartphone adoption, digital payment infrastructure, and a young, tech-savvy population are driving this growth, Anarock said.

Government initiatives like 'Digital India' and rapid improvements in the country's logistics and supply chain networks have further boosted its growth prospects.

"Besides the metros, e-commerce players are also tapping the growing demand from smaller towns and cities," said Anuj Kejriwal, CEO & MD, Anarock Retail.

Meanwhile, he said the overall Indian retail industry's market size is expected to touch $2,500 billion by 2035, witnessing a three-fold increase compared to 2019.

The report stated that the growth is powered by rising disposable incomes, increasing urbanisation, a young and tech-savvy population, and an ever-expanding middle class.