Jagannath Rath Yatra 2025: The Significant Impact On Odisha's Economy

When the wheels of Lord Jagannath gather momentum annually in Puri not only do lakhs of devotees gather to watch traditionally rooted Indian festival as it acts as a catalyst proliferating Odisha's economy via tourism, hospitality, and locally embued business verticals.

Tourism Boost And Revenue Collection

The Rath Yatra in Puri which unites a million hearts seeking to pay their reverence to this deity is known to attract over 20 lakh vistors during this nine-day festive period.

Last year, the state administration expected around 15 lakh indiviuals given all hotels were completely booked in advance. The plethora of devotees having gathered from all cross India and beyond led to a signficant rise in activities in hospitality industry and its ancillary activities in verticals like transports, sweets and sales of local vendor products. Several localties await the arrival of Jagannath Rath Yatra to bolster their annual income.

As the wheels of Lord Jagannath are set in motion, the contribution of tourism to Odisha's economy rapidly increases its pace. Reportedly, tourism contributed close to 13 per cent of the state's gross domestic product (GDP). The cash flow via tourism back in 2023 wa almost Rs  9,871 crore, recovering from the drop it has witnessed when covid induced pandemic led to a downturn in tourism-related activities.

As a result of this cultrally significant festival in Puri, the domestic tourist grew over 97 lakh in 2023.

Sector-Wise Impact Of Jagannath Yatra 2025

Hospitality: The Rath Yatra annually celebrated in Puri witnesses close to full occupancy in hotels and several hotels and homestays have reported booking made way in advanvce to steamline their travel plans.  

Handicrafts/F&B: The community of Odisha's local artisans are known to sell souvenirs, chhena poda and khaja sweets, and handicrafts. 

Transport services: A major jump in demand of car and bike rentals  are witnessed in Puri durin the festivities surrounding Jagannath Rath Yatra take place. Meanwhile, the state government is also know to invest heavily to provide services such as free transportation for believers of Lord Jagannath.

Temple Donations: The Jagannath Temple receives increased donations during the festival, further supporting religious and community activities.

Government Spending and Infrastructure

To make sure an unperturbed Rath Yatra, the Odisha government expenditure on infra, and public utility services is noteworthy.

Previous year, tools such as AI-powered CCTV was utliised to manage crowds and traffic, showing the state’s continued focus on safety and efficiency during the festival.

The Rath Yatra fosters income generation and improves the economic condition of local businessmen, artisans, and service providers. The influx of devotees stimulates demand for goods and services, creating employment opportunities and supporting livelihoods across Puri and beyond.