Car sales lead surge

Retail spending has continued to rise in the June 2014 quarter, led by an increase in the vehicle and parts industry. Figures from Statistics NZ show that – after adjusting for seasonal effects – the volume of total retail trade sales rose by 1.2 per cent in the quarter. This follows a 0.8 per cent rise in the previous quarter. “The motor vehicle and parts retailing industry has driven this increase in sales volumes and values, recording their largest increases in two years,” says Neil Kelly, business indicators manager. The largest industry movements were motor vehicle and parts retailing, which jumped by up 3.6 per cent, and food and beverage services – up by 2.7 per cent. Actual retail sales were up by 3.8 per cent in value from the same quarter a year earlier and ahead of the 3.4 per cent estimate in a survey by Reuters. Excluding fuel and vehicle-related spending, core retail sale volumes in the second quarter rose a seasonally adjusted 1.2 per cent, following a one per cent rise in the first quarter.