Food and machinery push up trade sales

Total wholesale trade sales rose a seasonally adjusted 2.2 per cent or $472 million in the June quarter, Statistics New Zealand says.

The increase was the third consecutive rise in sales, after a decline that began in mid-2008. Although nine of the 16 wholesale industries saw sales rise, the rise was driven by three industries.

Primary product food was up 8.4 per cent or $149 million, machinery and equipment was up 14.8 per cent or $122 million, and unprocessed primary products was up 6.7 per cent or $107 million.

Food and grocery products had the largest fall in the June quarter, down 2.2 per cent or $95 million - the first decrease since September 2008, when sales fell 1.8 per cent or $73 million.

The trend in wholesale trade sales in June 2010 was 6.5 per cent higher than in June 2009, but still 4.3 per cent below its peak in June 2008. Wholesale trade stocks fell 1.8 per cent to $10.1 billion, reversing a 1.6 per cent or $166 million rise in the previous quarter.

The stock value, not seasonally adjusted, was $10.5 billion at the end of July 2010, 4.2 per cent lower than at the end of June 2009. Petroleum products were down 17.5 per cent or $276 million, and unprocessed primary products down 13.8 per cent or $118 million.

- NZPA