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Trade News Archive June 08 May 08 April 08 March 08 February 08 January 08
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23rd June 2008
Wholesalers report slowing sales in first quarter
Wholesalers supplying consumer and durable goods are most likely to be affected by the slowing UK economy, a report has stated.
The Wholesaling Monthly report from Barclays Commercial pointed to government figures that indicated that annual output growth in the wholesale sector in March remained subdued.
In fact, the figures suggested that the wholesale sector grew by just 0.3 per cent in the month. This meant that growth for the first quarter of the year was only 1.4 per cent.
However, the Barclays report noted that April's Confederation of British Industry data did show that 47 per cent of businesses reported a growth in sales volumes. In particular, the study showed that wholesalers of durable household goods and industrial materials enjoyed good order books.
In contrast, wholesalers of clothing, textiles and footwear reported they were struggling.
The report concluded by saying that the continuing slowdown in the UK economy would impact the wholesale sector as the year progressed. As a result, it said that it believed growth in the wholesale sector would slow to around two per cent.
It stated: "Those wholesalers supplying consumer and durable goods are likely to be impacted most by the expected slowdown."
(c) 2008 Adfero Ltd.
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