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RETAIL GROWTH TO LEVEL OUT FOLLOWING PICK UP IN FIRST HALF OF 2017
According to the AFGC CHEP Retail Index: A lead indicator based on transactional data from CHEP pallet movements.
Released today, the October 2017 edition of the quarterly AFGC CHEP Retail Index has signalled continued retail turnover growth in Australia, but with a levelling out over the coming months of 2017, following the pickup in spending growth experienced in the first half of the year.
Key figures from the Index predict:
- 3.3% year-on-year retail turnover growth to the month of September 2017, trending relatively flat to 3.4% year-on-year for the month of November. This is down from the slightly higher 3.8% growth recorded year-on-year for June and August 2017.
- On a quarterly basis, 3.0% year-on-year growth to the September quarter trending to 3.3% year-on-year for the December quarter.
The AFGC CHEP Retail Index, which is based on transactional data from CHEP pallet movements and analysis by Deloitte, provides unique insight into the Australian retail sector. It is recognised as a reliable lead indicator of Australian Bureau of Statistics retail trade data.
Australian Food and Grocery Council Chief Executive Officer, Ms Tanya Barden, said: “The latest Index, along with commentary from Deloitte, shows that although we continue to see retail growth, the brakes will be reapplied slightly leading into Christmas. This follows the modest but welcome pick-up in the first half of the year. Financial risks are being felt more acutely by many consumers, which is affecting their sentiment and spending. Retail price growth has been very slow at around one per cent over the year.”
President of CHEP Asia Pacific, Phillip Austin, added: “The build to the Christmas trading period requires a particular supply-chain focus for both manufacturers and retailers to optimise inventory and maximise on-shelf availability, in the face of both intense competition and lower consumer sentiment. CHEP is actively supporting the end-to-end supply chain by ensuring the depth and breadth of supply of pallets and other transportation platforms, to enable the best outcomes for all parties.”
The AFGC CHEP Retail Index is a collaborative project between the Australian Food and Grocery Council and CHEP Australia, produced by Deloitte. To access the October 2017 Index and background information, click here or CHEP Australia’s CHEPedia portal.
AFGC Media Contact: James Mathews 0407 416 002
CHEP Australia Media Contact: Kathryn Crofts 0437 108 844
Brambles Media Contact: James Millard 0414 777 680