China's retail sales rose in April 2008 at the fastest pace since at least 1999, signaling that strong domestic consumption may help offset weak overseas demand.
China's retail sales of consumer goods in April 2008 rose 22.0 % year on year to 814.2 billion Yuan (USD 116.3 billion), the National Bureau of Statistics (NBS) said on Tuesday.
That brings China's retail sales of consumer goods in the first four months of this year (2008) to 3.3697 trillion Yuan, up 21.0 %, compared with 20.6 % growth rate recorded in the first quarter of this year, reports China Daily.
Retail sales of consumer goods in April in urban areas were up 22.9 % to 555.9 billion Yuan, while the retail sales of consumer goods at county level or below totaled 258.3 billion Yuan, up 20.1 %.
Rising inflation is the main reason which not only forced consumers to pay more for daily necessities, but also seemed to encourage spending on durable and luxury goods. Sales of consumer goods like garments, home appliances, furniture and recreational goods picked up due to inflation worries and hence pushed the retail sales to increase.
"With inflation at a decade-high level, it is not surprising to see nominal retail sales reaching a decade-high as well," Goldman Sachs' economists Song Yu and Liang Hong said in a research note, reports People’s Daily Online.
A heavy buying in foodstuff and beverages, grain and edible oil also helped the retail sales of china to rise amid rising food price inflation.
According to research analyst at Arth business Research, “As the demand for food prices is rising continuously with a greater pace than the supply and at the same the oil prices are hitting all time high, it is expected to force people to purchase more goods like garments, home appliances, and other luxury goods on the expectation that the price of these goods will go higher in near future which in turn will push the retail sales up further.”
For more articles, blogs, company analysis, company profile, industry research reports plz contact at mr.jayantkumar@gmail.com
China's retail sales of consumer goods in April 2008 rose 22.0 % year on year to 814.2 billion Yuan (USD 116.3 billion), the National Bureau of Statistics (NBS) said on Tuesday.
That brings China's retail sales of consumer goods in the first four months of this year (2008) to 3.3697 trillion Yuan, up 21.0 %, compared with 20.6 % growth rate recorded in the first quarter of this year, reports China Daily.
Retail sales of consumer goods in April in urban areas were up 22.9 % to 555.9 billion Yuan, while the retail sales of consumer goods at county level or below totaled 258.3 billion Yuan, up 20.1 %.
Rising inflation is the main reason which not only forced consumers to pay more for daily necessities, but also seemed to encourage spending on durable and luxury goods. Sales of consumer goods like garments, home appliances, furniture and recreational goods picked up due to inflation worries and hence pushed the retail sales to increase.
"With inflation at a decade-high level, it is not surprising to see nominal retail sales reaching a decade-high as well," Goldman Sachs' economists Song Yu and Liang Hong said in a research note, reports People’s Daily Online.
A heavy buying in foodstuff and beverages, grain and edible oil also helped the retail sales of china to rise amid rising food price inflation.
According to research analyst at Arth business Research, “As the demand for food prices is rising continuously with a greater pace than the supply and at the same the oil prices are hitting all time high, it is expected to force people to purchase more goods like garments, home appliances, and other luxury goods on the expectation that the price of these goods will go higher in near future which in turn will push the retail sales up further.”
For more articles, blogs, company analysis, company profile, industry research reports plz contact at mr.jayantkumar@gmail.com
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