India’s E-Commerce Market To Reach $550 Billion By 2035: Report

India’s e-commerce sector will likely expand over four times its current size, reaching $550 billion by 2035, according to a report by Anarock and ETRetail.

The sector, valued at $125 billion in 2024, is likely to grow at a compounded annual growth rate (CAGR) of 15%, the report stated.

Anarock and ETRetail unveiled their findings at ‘The Economic Times Great India Retail Summit 2025’ in Mumbai on Thursday.

The consultant in a statement stated, “Indian e-commerce is likely to touch $550 billion by 2035, growing at a CAGR (compounded annual growth rate) of 15 per cent. 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.”

Anarock noted that key growth drivers include rising internet penetration, increasing smartphone usage, a robust digital payment ecosystem, and a tech-savvy young population.

Government-led initiatives such as ‘Digital India’ and improvements in logistics and supply chain infrastructure have further accelerated expansion.

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

Additionally, the overall Indian retail market will likely triple from 2019 levels, reaching $2,500 billion by 2035.

The report attributed this growth to rising disposable incomes, increasing urbanization, a growing middle class, and a digitally connected consumer base.

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