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Retail sales jumped 9 percent in March

Retailers enjoyed another boost in March as retail sales increased by 9.0 percent for the month over last year.

All sectors in the Government-compiled Retail Sales Index registered increases in gross revenue, with the exception of the service stations sector which declined by a minimal 0.4 percent.

Estimated gross turnover in the retail sector for the month was $49.8 million, an increase of $4.1 million over March 2003.

After adjusting for annual inflation ? which was measured at 3.1 percent in March ? in real terms the volume of retail sales increased by 5.7 percent from last year.

The overall increase was driven, for the most part, by the continuing construction industry boom, with retail activity in the building and hardware sector surging 38 percent.

The Statistics Department said that sustained building activity carried out at large multi-million dollar construction sites around the Island continued to spark demand for building materials and supplies during the month.

?This past March has definitely been one of the largest months I can recall for us,? said William Morrison, CEO of building supplies company SAL yesterday.

?We?ve been extremely busy in all our divisions on the manufacturing and retail sides, and for residential and commercial customers.?

The ?All Other Store Types? sector also posted a double-digit increase of 15.7 percent, which according to the Statistics Department was generated by robust consumer demand for household goods.

Furniture sales rose sharply over 2003 levels and sales of appliances and electronics climbed 8.6 percent.

Gross receipts of pharmaceutical and personal care products also showed significant gains.

Post-holiday sales at clothing stores appear to have worked in the retailers? favour.

The apparel stores sector registered a 6.1 percent increase compared to the same period last year.

And gross receipts for the liquor and food store sectors also climbed by 5.0 percent and 4.7 percent respectively.

Although petrol sales were down by less than 1 percent, sales for motor vehicle dealers rose 4.2 percent over the same period last year. This gain was attributed to new vehicle models being introduced to the local market and additions to existing stock levels generating increased demand for cars.

It appears that while residents spent enough on goods and services here in March to generate these healthy gains in gross revenues for the retail sector, they continue to shop at significant levels overseas.

Overseas spending by residents during business and vacation trips jumped by approximately 39 percent.

Residents declared a total of $3.21 million on purchases of clothing, footwear and household items, compared to $2.31 million last year. This could be attributed to the fact that more residents ? an increase of 15.8 percent ? declared overseas purchases during the month than the total recorded for the same period in 2003.