Wholesale sales in Alberta declined for the second time in three months, down 0.6 per cent in August to $7 billion, according to Statistics Canada.
“Lower sales were reported in four of seven subsectors, with the food, beverage and tobacco subsector contributing the most to the decline, down 5.3 per cent following a 5.3 per cent increase in July,” said the federal agency on Monday.
But on an annual basis sales in the province were up 6.6 per cent.
Nationally, sales dipped by 0.1 per cent to $63.6 billion in August as sales fell in four of seven subsectors, representing 65 per cent of total wholesale sales.
“The building material and supplies and the motor vehicle and parts subsectors led the declines in August, while the machinery, equipment and supplies subsector posted the largest gain,” said StatsCan.
“The building material and supplies subsector declined for the second time in three months, down 2.3 per cent to $9.5 billion in August. Sales were down in two of three industries, with the lumber, millwork, hardware and other building supplies industry (-3.5 per cent) contributing the most to the decline. The decrease in August offset the gain in July for both the subsector (+1.2 per cent) and the industry (+0.3 per cent).
“Related indicators including housing starts (-6.4 per cent), and exports of forestry products and building and packaging materials (-2.8 per cent) also declined in August.”
Statistics Canada also reported that sales in the motor vehicle and parts subsector fell 1.4 per cent to $10.8 billion on lower sales in all of its industries, led by the motor vehicle industry (-1.4 per cent to $8.5 billion). This was the lowest level for both the subsector and the industry since November 2016. In the food, beverage and tobacco subsector, sales declined 0.5 per cent to $11.8 billion. Lower sales were reported in all three industries within the subsector. The beverage (-4.9 per cent) and the food (-0.2 per cent) industries contributed the most to the declines in August. In volume terms, the beverage industry declined 5.4 per cent, while the food industry edged up 0.4 per cent.
Following two consecutive monthly gains, the personal and household goods subsector declined 0.5 per cent in both current and constant dollars. Three of six industries reported declines, led by the pharmaceutical and pharmacy supplies industry (-1.4 per cent).
In dollar terms, the machinery, equipment and supplies subsector recorded the largest gain in August. Sales increased for the second consecutive month, up 2.2 per cent to $13.3 billion, the highest level on record. Gains were led by higher sales in the computer and communications equipment and supplies industry (+5.4 per cent), which increased for the second consecutive month.
Sales in the miscellaneous (+1.4 per cent to $8.2 billion) and the farm products (+4.1 per cent to $860 million) subsectors increased in August, following two consecutive monthly declines.
On an annual basis, sales across Canada were up 3.5 per cent.
Mario Toneguzzi is a veteran Calgary-based journalist who worked for 35 years for the Calgary Herald, including 12 years as a senior business writer.
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