India hoards goods worth Rs 56,000 crore every year

Believe it or not, the unused Nokia 3315 phone of yours lying unused, the discarded but working 21 inches flat TV and the printer lying idle without ink cartridge may be equivalent to 125 times of Mars Orbiter Mission Mangalyaan.

Used goods have always been a staple in Indian homes. Before Diwali or other festivities, de-cluttering of the goods is done but by next few months the normalcy of piled up goods are restored. But have you ever thought how much worth the unused goods are? If a study by OLX, the online marketplace for buyers and sellers is to be believed, urban Indian households hoard Rs 56, 200 crores worth of unused goods.

“If we take the whole country into account, then this number will be much higher. Brown Money* has a favorable impact on personal finances and the overall economy. By helping goods find right homes, we are also ensuring greater utilization of products and less wastage. And by providing a platform for people to sell and buy used goods, we are managing to touch their lives by helping them fulfill their aspirations,” said Amarjit Batra, CEO, OLX India while revealing CRUST(Consumer Research on Used-Goods and Selling Trends) results. It is the survey for 2104-15, which was conducted through a random sampling methodology of 5,800 samples across 16 cities including metros, tier-1 and tier- 3.

The report claims that one-fifth fifth of the goods being stocked in urban Indian homes have ceased to be relevant to them. Last year CRUST estimated the market for used goods to be Rs 22,000 crore.

* Brown Money refers to the money that is locked in goods gathering dust in our homes.

(Image: BCCL)