Qurbani and the Indian Economy: Unveiling the Hidden Economic Power of a Sacred Tradition

Shams Tabrez Qasmi

Every year, as the crescent moon heralds the arrival of Eid al-Adha, millions of Muslims across India prepare to perform Qurbani—the religious sacrifice commemorating Prophet Ibrahim’s (AS) unwavering devotion to Allah. While the spiritual essence of this act remains at the heart of the festival, a lesser-known yet profound dimension deserves equal attention: the enormous economic ecosystem fueled by Qurbani.

This ecosystem touches almost every sector of India’s rural and semi-urban economy—from animal husbandry and agriculture to transport, retail, and the leather industry—supporting millions of livelihoods and contributing significantly to India’s GDP.

The Scale of Qurbani Business in India

According to conservative estimates,15–17 million goats and sheep are sacrificed across India during Eid al-Adha. 1–1.2 million bulls and buffaloes are sold for Qurbani. 25,000–30,000 camels are traded, especially in Rajasthan, Gujarat, and parts of Haryana.

Price Range per Animal:
Goats & Sheep: ₹10,000 to ₹1,00,000

Bulls & Buffaloes: ₹30,000 to ₹80,000

Camels: ₹50,000 to ₹2,00,000

Estimated Market Size:
Considering weighted averages and regional price differences, the direct animal trade alone accounts for ₹43,000–45,000 crore (₹430–450 billion) annually during Eid al-Adha. This figure surpasses the annual budgets of many Indian states, such as Goa, Mizoram, Sikkim, and Nagaland, underlining the gravity of this seasonal economic boom.

Beyond the Animals: A Web of Allied Industries

The Qurbani economy goes beyond just animal sales. A vast network of allied sectors also flourishes, including:

  1. Animal Feed and Fodder Industry
    Demand for feed spikes in the weeks leading up to Eid.

Estimated seasonal revenue: ₹3,000–3,500 crore

  1. Transport and Logistics
    Involves the movement of animals across states (e.g., Rajasthan to Delhi, Bihar to Bengal).

Thousands of trucks, mini-vans, and loaders are rented.

Labor and rental income: ₹1,000–2,000 crore

  1. Butchers and Slaughter Workers
    Qurbani creates seasonal employment for over 2 million butchers and helpers, particularly from OBC, Dalit, and Muslim communities.

Daily wage employment spans 3–5 days per worker.

Income generated: ₹500–800 per worker/day

  1. Leather and Hides Sector
    Qurbani provides 40–45% of India’s total annual raw hide supply.

Hides are sold to tanneries for further processing.

Contributes: ₹2,000–2,500 crore to the leather economy

  1. Meat Sellers and Cold Chain Vendors
    Qurbani meat is sold, shared, stored, and distributed.

Local butchers, meat shop owners, and cold chain logistics gain tremendously.

Estimated income: ₹1,000–1,500 crore

  1. Temporary Markets and Infrastructure
    Over 8,000 temporary animal markets are set up across the country.

Revenue from market permits, entry fees, and taxes also adds up to ₹300–500 crore, benefiting local municipalities and panchayats.

Qurbani and Charitable Distribution

An often overlooked but vital component of Qurbani is its charitable aspect. Nearly one-third of all Qurbani meat is distributed freely to the poor and needy. Thousands of NGOs and madrasas collect hides and meat to fund educational and welfare programs.

In states like Uttar Pradesh, Bihar, and West Bengal, over 10,000 organizations are directly involved in this process. This results in nutritional support for marginalized communities, educational funding through hide donations, further strengthening social welfare mechanisms outside government structures.

What If Qurbani Didn’t Happen?

The economic void created by the absence of Qurbani would be devastating: ₹43,000 crore in direct losses to the livestock market and ₹10,000–12,000 crore in indirect losses across sectors. Millions of farmers, herders, butchers, transporters, and traders would lose their seasonal earnings Charitable flows of meat and hides would halt, affecting poor families and institutions.

Export-linked industries like leather goods and processed meat would suffer production disruptions. The total economic setback would likely exceed ₹55,000 crore, affecting about 0.15% of India’s GDP.. To put this into perspective, this is: Equal to the entire education budget of a state like Rajasthan, and comparable to the national annual budget for Skill Development and Entrepreneurship

Who Benefits from Qurbani?

  1. Rural Farmers
    Many rely on animal sales during Eid for bulk of their annual income.

In regions like Bundelkhand, Purvanchal, and eastern Rajasthan, Qurbani sales often save families from debt.

  1. Marginalized Communities
    Dalits and OBCs form the backbone of the leather and meat processing sectors.

Adivasis and nomadic herder groups (e.g., Van Gujjars) raise animals that are sold during Eid.

  1. Urban Poor
    Butchers, transport laborers, loaders, and street vendors earn multiple times their daily average during this period.
  2. State and Local Governments
    Earn revenue from temporary licenses, market rentals, and vehicle permits

Challenges and Threats to the Qurbani Economy

Despite its socio-economic significance, the Qurbani ecosystem faces rising challenges: legal restrictions and vigilante threats around cattle trade, disinformation campaigns targeting religious practices, increasing urban regulations on animal slaughter and disruption in transport and interstate animal movement.

These factors not only affect religious freedom but also endanger rural economies and increase communal mistrust.

Conclusion: A Ritual Rooted in Faith and Economy
Eid al-Adha is not just an act of devotion—it is a seasonal economic engine that supports millions of jobs, powers the livestock and leather industries, provides charity and nutrition to the poor and bridges economic ties across communities.

As policymakers, economists, and citizens, it is time we recognize Qurbani not as a threat, but as an economic lifeline. Its protection and facilitation are not only a matter of religious liberty, but an economic necessity for inclusive growth.

“When faith feeds families and drives industries, it becomes a national asset—one that must be nurtured, not hindered.”

Shams Tabrez Qasmi is an alumnus of Darul Uloom Deoband (the most influential Islamic seminary in South Asia), and Chief Editor at Millat Times, New Delhi.

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The Editor of Millat Times English and founding member of Millat Times Group, featuring stories and reports Email: irshadayub5@gmail.com