Bermuda's shopkeepers endured yet more misery as retail sales fell by the second biggest amount this year, according to the latest statistics released by Government.

The Department of Statistics' Retail Sales Index revealed that retail sales volume dropped by 6.7 percent in April 2009 after adjusting for the annual rate of inflation of four percent — 0.5 percent worse than the previous month, but better than February's 11 percent decline.

Consumers spent an estimated $92.3 million on goods — down 2.9 percent or $2.8 million in sales revenue from the same period a year ago — while apparel stores and service stations both reported declines in sales revenues exceeding 15 percent year-over-year.

Retailers suffered their third consecutive month of contracted sales activity this year, highlighting shoppers' reluctance to buy non-essential products, however sales performance was mixed between the sectors, with food stores, liquor stores and motor vehicle dealers posting moderate gains during April.

Apparel traders were one of the hardest hit as revenue fell 16 percent below the corresponding period in 2008, representing the 10th straight month of flagging sales, while average monthly sales for the first four months of 2009 fell 18 percent below the level recorded for the same time last year.

Service stations also saw a further drop in sales for April, with gross revenue slumping 18.6 percent over the month compared to the 10.5 percent gain in April 2008, partly down to the 13.4 percent decline in the cost of premium and mixed fuel and the lower volume of litres sold.

The all other store types sector experienced an eight percent drop in sales revenue as households remained wary of major purchases, resulting in consumers spending 17.4 percent less on furniture and appliances and 10.1 percent less on electronics, but, there was one silver lining with sales of pharmaceutical products increasing by 5.8 percent versus the same month last year.

Sales of building materials and supplies declined by 4.7 percent due to weaker demand for construction products following a 10.6 percent rise in March 2009.

On the flipside, gross receipts for food stores advanced 7.7 percent in April, mainly as a result of the 6.7 percent rise in the price of food items during the month.

Meanwhile, despite shoppers tightening their belts across the retail sector, motor vehicle sales increased fractionally by 0.5 percent over April, marking the second month of growth this year, due to greater sales of more popular models in stock.

Residents returning to the Island from business and holiday trips declared $6.9 million in overseas purchases during April 2009, up $600,000 on the previous year and representing seven percent of total retail sales over that time, slightly above the 6.2 percent reported last year.