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CONTENT & DOWNLOADS / INDUSTRY

OZ Retail Climbs February

By Oonagh Reidy | Thursday | 04/04/2013

Retail trade grows but discretionary spending remains a concern, warns ARA.

February retail enjoyed a sight rise of 1.3 per cent to $21.9bn, seasonally adjusted , according to ABS figures released today.

The largest contributor to the rise in February was food retailing (+1.1 per cent) followed by household goods including electronics retail which rose 1.6%, followed by other retailing 1.6%, department stores 1.6% and clothing 1.2%.

Good news for electronics retail is household goods retailing (up 0.7 per cent in trend terms) was the largest contributor to growth was followed by food retailing (up 0.3 per cent in trend terms), over the longer term.

The state which was the largest contributor to the rise was New South Wales (1.4 per cent), followed by Queensland (1.9 per cent), Victoria (1.1 per cent), Western Australia (1.8 per cent) and the Australian Capital Territory (2.6 per cent).

These rises were partially offset by falls in South Australia (-0.4 per cent), the Northern Territory (-1.4 per cent) and Tassie (-0.6 per cent).

Over the longer term, Queensland was the strongest contributor to growth (up 0.6 per cent in trend terms).

Retail turnover rose 4.6 per cent in February, seasonally adjusted, compared to February 2012. In trend terms retail rose 0.4%.

Australian Retail Association (ARA) Executive Director Russell Zimmerman said the rise was a good sign for the retail sector, but it's clear the struggling sector is still facing significant challenges.

"As reported in recent days, home ownership and household deposit rates have increased over the past 12 months as consumers choose to consolidate rather than spend."




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