CHEP retail index shows modest gains in the offing
Transport and logistics operations exposed to the retail sector have received some good news in the latest AFGC CHEP Retail Index.
Such companies can expect more business in the coming months, as the Index, a collaborative project between the Australian Food and Grocery Council (AFGC) and CHEP Australia, produced by Deloitte, indicates strengthening retail spending.
It predicts year-on-year growth in Australian retail turnover of 4.6 per cent for the month of June 2017 and 3.6 per cent year-on-year for the June quarter – which is up from a year-on-year rise of 2.6 per cent to March 2017.
According to the report, this is projected to continue with year-on-year growth gures for the months of August at 4.2 per cent and September at 4.1 per cent respectively.
China and domestic economic recovery along with local employment growth were seen as supporting the positive trend.
Of the categories, the Index reports food retail spending picking up, lling part of the gap left by weakened growth in non-food retailing.
Meanwhile, competitive risks, specically growth of international and online retailing, are expected to impact most retail categories.