Each day TFO Canada publishes a sample of trade news on the Canadian import market along with any new, updated or changed regulations and legislations regarding international trade; countries in which TFO Canada offers services and on the export sectors which it promotes.
Canadian Building Materials and Supplies Hit Record High in JuneThursday, August 21, 2014 > 10:08:15
Wholesale sales in Canada advanced in June at a faster-than-expected pace on robust sales of agricultural supplies and building materials, Statistics Canada said Wednesday.
Month-over-month wholesale trade rose 0.6% to 53.01 billion Canadian dollars ($48.44 billion). Traders had anticipated a 0.4% advance, according to economists at Royal Bank of Canada.
On a volume basis, sales climbed 0.7%.
The prior month's data were revised upward, and now indicate wholesale sales rose 2.3% versus the original estimate of a 2.2% gain.
Wholesalers account for the largest portion of the service sector, and generally act as an intermediary in the distribution of merchandise. As a result, many wholesalers tend to sell merchandise in large quantities to retailers, businesses and institutional clients.
Five of the seven wholesale subsectors tracked by Statistics Canada recorded gains in the month, led by catch-all miscellaneous category, up 3.1% to C$6.88 billion. Within miscellaneous, agricultural supplies were among the largest contributors, as sales increased 4.9% to C2.04 billion.
The building materials and supplies sector rose 2.2% to C$7.60 billion to reach the highest level on record.
Offsetting these gains was a 2.4% decline in the motor-vehicle sector. Excluding vehicle and auto parts sales, wholesale trade rose in June by 1.2%.
Wholesalers also added to their inventories in June. Inventories increased 1% to C$65.94 billion, marking the sixth consecutive monthly gain. The inventory-to-sales ratio - which measures the time in months required to exhaust stockpiles if sales were to remain at present levels -- remained unchanged in the month at 1.24:1.