- The Australian Bureau of Statistics (ABS) reported that retail trade rose by 0.9 per cent in April after rising 1.6 per cent in March, rising 1.8 per cent in February and after lifting by 1.6 per cent in January. Retail trade was up by 9.6 per cent on a year ago to a record $33.9 billion.
- Sales rose most in food categories as well as clothing & footwear. All states and territories posted gains in sales except NSW.
- In 2020/21, the ABS reported that value added rose most in Agriculture, forestry and fishing, up 17.7 per cent with employment up most in Accommodation and food services, up 10.2 per cent. Earnings rose most in Education & training, up 38.9 per cent.
What does it mean?
- The Aussie consumer remains in fine voice. People are getting out and about again, especially frequenting cafes and restaurants. And because more people are out and about they are also taking the opportunity to update their wardrobes. In part, higher prices would be pushing sales higher while the volume of sales would be supported by a strong job market and rising wages. Retail prices are up only 3.4 per cent on a year ago so the actual volume of goods and services has lifted by over 6 per cent over the period.
- Since January 2020, Western Australian spending has risen most, up 23 per cent. Slowest growth was by Northern Territory, up 14.9 per cent. Australian spending rose 18.6 per cent.
- Latest data indicate that Australian industries performed strongly in the 2021 financial year. Earnings rose almost 8 per cent with employment up 5 per cent and industry value added lifted almost 3 per cent.
What do you need to know?
Retail trade – April
- The Australian Bureau of Statistics (ABS) reported that retail trade rose by 0.9 per cent in April after rising 1.6 per cent in March, rising 1.8 per cent in February and after lifting by 1.6 per cent in January. Retail trade was up by 9.6 per cent on a year ago to a record $33.9 billion.
- By industry in April: Food retailing rose 1.9 per cent; Household goods retailing fell 2.7 per cent; Clothing, footwear and personal accessory retailing rose 3.1 per cent; Department stores fell 2.5 per cent; Other retailing rose 0.5 per cent; Cafes, restaurants and takeaway food services rose 3.3 per cent.
- By states/territories in April: NSW (down 0.3 per cent); Victoria (1.1 per cent), Queensland (up 1.6 per cent); Western Australia (up 2.2 per cent), South Australia (up 1.4 per cent), Tasmania (up 2.0 per cent), the Australian Capital Territory (up 0.5 per cent) and the Northern Territory (up 0.7 per cent).
- In terms of the lift in Queensland spending, the ABS said “further easing of public health restrictions saw the removal of density limits, as well as check-in and vaccination requirements to enter venues boosting trade.”
- The ABS noted: “The strength in retail turnover is being driven by spending across the food industries. High food prices have combined with increased household spending over the April holiday period as more people are travelling, dining out and holding family gatherings.
- “There were strong rises in both food retailing and cafes, restaurants and takeaway food services. This is a contrast to the consumer behaviour previously seen during the pandemic, where these two industries would consistently move in opposite directions as outbreaks and restrictions either tightened or eased.”
- The Australian Bureau of Statistics (ABS) reported that in 2020/21 value added rose most in Agriculture, forestry and fishing, up 17.7 per cent with employment up most in Accommodation and food services, up 10.2 per cent. Earnings rose most in Education & training, up 38.9 per cent.
- Total industry value added rose by 2.7 per cent with employment up 5.1 per cent.
- Industry earnings totalled $621 billion in 2020/21 with the biggest contribution from Mining ($163.8 billion). Next biggest earnings were in Rental, hiring and real estate services ($62.6 billion).
- Total industry earnings rose by 7.6 per cent in 2020/21.
Originally published by CommSec