Retail sales continue healthy growth in October

Retail sales in Cyprus continued to show healthy growth in October, rising by 8.1% in volume compared with October 2004. This was stronger than the 2.5% and 4.4% year-on-year increases recorded in August and September respectively.

On a year-to-date basis (Jan-Oct), retail sales were up by 4.8% compared with the same period of 2004.

The strongest pace of growth was recorded by sales of textiles, clothing, footwear and leather goods, up by 22.5% year on year.

These have experienced a strong turnaround since the early part of the year. In the first ten months of 2005, sales of these items were up by just 4.4% year on year.

Sales of pharmaceuticals, cosmetics and toiletries again rose strongly, by 21.2% Y/Y in October and by 18.3% in the first ten months.

Late last year representatives of the pharmacy sector told the Financial Mirror that they believed this growth was concentrated not in the sale of medicines but in the sales of cosmetics.

Food, beverages and tobacco sales in non-specialised stores (mainly kiosks and supermarkets) rose by 7% year on year in October and by 9.7% in the January-October period.

Sales at specialised food stores (such as butchers and bakers) rose by 4.1% Y/Y in October and by 8.6% in the Jan-Oct period.

Data on sales by value suggest that overall, retailers are not having to cut prices in order to maintain sales volumes.

In October, total volume rose by 8.1% and total value by 8.7% compared with October 2004.

In the January-October period, total volume rose by 4.8% while total value rose by 5.2%.

Fiona Mullen