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The Census and Statistics Department (C&SD) released the latest figures on retail sales today (June 1).
The value of total retail sales in April 2009, provisionally estimated at $21.7 billion, decreased by 4.4% when compared with a year earlier. After netting out the effect of price changes over the same period, the volume of total retail sales decreased by 5.5% in April 2009 when compared with a year earlier. The relevant components of the Consumer Price Index are used as deflators.
The revised estimate of the value of total retail sales in March 2009, at $20.8 billion, decreased by 7.7% when compared with March 2008, while the volume of total retail sales decreased by 9.2%.
Taking the first four months of 2009 together, total retail sales decreased by 4.0% in value or 5.4% in volume when compared with the same period a year earlier.
Analysed by broad type of retail outlet and comparing April 2009 with April 2008, the volume of sales of motor vehicles and parts decreased the most, by 34.0%. This was followed by sales of wearing apparel (-12.8% in volume); furniture and fixtures (-9.7%); miscellaneous consumer goods (-4.8%); food, alcoholic drinks and tobacco (-3.9%); commodities in supermarkets (-2.5%); commodities in department stores (-1.7%); and fuels (-1.5%).
On the other hand, the volume of sales of miscellaneous consumer durable goods increased by 5.9% in April 2009 when compared with a year earlier.
Based on the seasonally adjusted series, the volume of total retail sales decreased by 5.8% in the three months ending April 2009 compared with the preceding three-month period.
These retail sales statistics are primarily intended to measure the sales receipts in respect of goods sold by local retail establishments, for gauging the short-term business performance of the local retail sector. They cover consumer spending on goods but not on services. Moreover, they include spending on goods by visitors in Hong Kong but not by Hong Kong residents outside Hong Kong. Hence they should not be regarded as a comprehensive indicator of overall consumer spending. In this context, it may be noted that the share of consumer spending on services in overall consumer spending has been increasing over time.
Users interested in the trend of overall consumer spending should refer to the quarterly series of private consumption expenditure (PCE), which is a major component of the Gross Domestic Product. Compiled from a wide range of data sources, PCE covers consumer spending on both goods (including goods purchased from all channels) and services by Hong Kong residents whether domestically or abroad.
Commentary
A Government spokesman says that retail sales staged a relative improvement in April, with the year-on-year decline tapering quite visibly in April from March. The rebound in the local stock and housing markets, as well as the stable performance of inbound tourism in April, contributed to this. Nevertheless, households¡¦ willingness to spend on higher-priced items, like motor cars and furniture, continued to be affected by the still uncertain global and local economic outlook.
The spokesman comments further that the retail business is likely to remain relatively weak in the near term. The impact of the human swine flu on inbound tourism and hence the retail business has yet to be seen. Nevertheless, the Government¡¦s efforts to support enterprises and preserve employment, together with the new round of relief measures, should help to provide some support to consumer sentiment.
Further information
Table 1 presents the revised figures on value index and value of retail sales for all retail outlets and by broad type of retail outlet for March 2009 and the provisional figures for April 2009. The value index is compiled with the average monthly value index of retail sales from October 2004 to September 2005 taken as 100.
Table 2 presents the revised figures on volume index of retail sales for all retail outlets and by broad type of retail outlet for March 2009 and the provisional figures for April 2009. The volume index is compiled with the average monthly volume index of retail sales from October 2004 to September 2005 taken as 100.
Table 3 shows the movement of the volume of total retail sales in terms of the year-on-year rate of change for a month compared with the same month in the preceding year based on the original series, and in terms of the rate of change for a three-month period compared with the preceding three-month period based on the seasonally adjusted series.
The classification of retail establishments follows the Hong Kong Standard Industrial Classification (HSIC), which is used in various economic surveys for classifying economic units into different industry classes. Upon the implementation of the new HSIC Version 2.0 by the C&SD in October 2008, the Monthly Survey of Retail Sales has been enhanced to adopt the new classification in compiling the retail sales statistics. Starting from the reference month of January 2009, all the retail sales statistics are compiled based on the HSIC Version 2.0.
The series of retail sales statistics under the HSIC Version 2.0 has also been backcasted to the base period (i.e. October 2004 to September 2005). Readers who are interested in the backcasted series or have enquiries about the survey results may contact the Distribution Services Statistics Section of the C&SD (Tel. : 2802 1258 or E-mail : mrs@censtatd.gov.hk).
Users can download the Report on Monthly Survey of Retail Sales free of charge at the website of the C&SD (http://www.censtatd.gov.hk/products_and_services/products/publications/statistical_report/commerce_and_industry/index.jsp).
Print version of this publication is available for sale at HK$12.0 per issue. Purchase can be done in person at the Publications Unit of the C&SD (Address : 19/F Wanchai Tower, 12 Harbour Road, Wan Chai; Tel. : 2582 3025) or through mail order by returning a completed order form which can be downloaded from the C&SD¡¦s website (http://www.censtatd.gov.hk/products_and_services/other_services/provision_of_stat/mail_ordering_of_publications/index.jsp). Print version of this publication is also available for sale online at the Government Bookstore of the Information Services Department (www.bookstore.gov.hk).
Ends/Monday, June 1, 2009
Issued at HKT 16:30
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