Eurostat, retail sales down in Eurozone
Volume fell 3.8% in march: -1.4% for food, beverages and tobacco/ Attachment
Eurozone retail sales in march fell more than expected. Compared to a year earlier, volume fell 3.8 percent and 4.1 percent in the Ee. In march alone, compared with february 2023, the seasonally adjusted volume of retail trade fell by 1.2% in the Eurozone and 1.1% in the Eu: in all cases, the decline far exceeded economists' forecasts, which expected -0.1 percent.
The figures are from Eurostat's latest bulletin, which justifies the decline by the rapid rise in inflation and because of rising interest rates that have eroded disposable incomes, limiting households' purchasing power.
In terms of sectors, in the Eurozone, in march 2023 compared to February 2023, the volume of retail trade decreased by 1.4% for food, beverages and tobacco and 1.1% for non-food products, while it increased by 1.6% for motor fuels. Across the EU as a whole, volume decreased 1.2% for food, beverages and tobacco and 1.1% for non-food products during the same period, while it increased 1% for motor fuels.
According to Eurostat, consumption has been weak throughout the year due to declining real incomes and the fact that households are spending more of their income on expensive energy, eroding demand for other goods.
Among member states, the largest monthly decreases in total retail trade volume were recorded in Latvia (-2.7%), Germany and Poland (both -2.4%) and Luxembourg (-1.9%). The highest increases were observed in Romania (+2.9%), Portugal (+2.3%) and Ireland (+1%).
In the Eurozone, on the other hand, in march 2023 compared to march 2022, the volume of retail trade decreased by 6.8% for food, beverages and tobacco and 2.2% for non-food products, while it grew by 3.5% for motor fuels: in the Eu, in two months, the volume fell by 6.6% for food, beverages and tobacco and 2.8% for motor fuels.
Among member states in these two months, retail sales fell the most in Estonia (-13.5%), Hungary (-13.2%) and Slovenia (-12.8%) while they increased the most in Spain (+10.8%), Romania (+7.2%) and Cyprus (+5.6%).
EFA News - European Food Agency