The latest advance estimate from Statistics Canada reveals that wholesale trade in Canada remained stable last month, as increased sales in the food and drinks sector offset weaker performance in other segments.
Overview of Wholesale Sales
According to the preliminary estimate, wholesale sales for September showed no change. The statistics agency’s data collection for the month is still ongoing, and the initial estimate is based on a weighted response rate of approximately 62% from wholesalers.
The estimates indicate a 3% increase in sales for the food, beverage, and tobacco-products sector compared to the previous month. Sales of motor vehicles, parts, and accessories also saw an upward trend, along with miscellaneous goods and farm products. However, sales of personal and household goods, building materials and supplies, and machinery, equipment, and supplies all experienced a decline.
Previous Month’s Performance
Earlier in August, Statistics Canada reported that wholesale sales, excluding petroleum, oilseed, and grain, rose by 2.3%, reaching a seasonally adjusted value of 83.0 billion Canadian dollars ($60.01 billion). Meanwhile, total wholesale sales, the measure the agency is transitioning to, saw a month-on-month increase of 4.1%.
Bank of Canada’s Projections
In its most recent economic projections, the Bank of Canada forecasts that inflation is expected to remain around 3.5% until mid-2025 before returning to its targeted 2% level. Economic activity is anticipated to stay modest throughout most of 2024, with average gross domestic product (GDP) growth just under 1%.
Looking ahead, Statistics Canada is scheduled to release the official wholesale trade data for September on November 15th.