Wholesale trade sales up 2.3pc

Food and grocery wholesale sales were up 1.7pc in the March quarter. Photo / Martin Sykes

Total wholesale trade sales, after adjusting for seasonal effects, rose 2.3 per cent or $472 million in the March quarter, Statistics New Zealand (SNZ) says.

The increase was the second quarterly rise following a period of decline that began in mid-2008.

The rise in sales was widespread with 13 of the 16 industries covered recording higher sales.

For the second consecutive quarter vehicle wholesaling recorded the largest individual increase, lifting 6 per cent or $86m in the three months to March.

Food and grocery products - the largest single industry accounting for about a fifth of all wholesale trade sales - gained 1.7 per cent or $73m, while a category that includes wholesaling of some machinery and equipment was up 9.2 per cent or $69m, largely reversing a 9.3 per cent fall in the December quarter.

Building supplies wholesaling gained 3.3 per cent or $57m following a rise of 6.6 per cent in the December quarter, SNZ said today.

Among the three industries with lower sales in the March quarter, the largest fall was in household good wholesaling, which fell 6.8 per cent or $45m.

The value of total wholesale trade stocks rose 1.9 per cent or $191m, following a 0.5 per cent lift in the December quarter.

The largest stock build was in the category including some machinery and equipment wholesaling, which lifted 14.4 per cent or $97m, the first stock rise since the September 2008 quarter.

The second biggest stock increase was recorded in unprocessed primary products wholesaling, up 10.8 per cent or $79m.

Vehicle wholesaling had its first rise in stocks since September 2008, recording an increase of 5.6 per cent or $62m. The level of stocks peaked in September 2008 at $1.7 billion, while the level of $1.2b in the March quarter was similar to that of 2002.

- NZPA