Tasmania defies Australian retail's gloomy run

Posted: 8th Feb

The Australian Bureau of Statistics estimated the value of Tasmanian retail turnover increased by 0.9 per cent in December in trend terms, ahead of every other state and territory.

It estimated national turnover dropped by 0.5 per cent in December in seasonally adjusted terms.

The weak retail performance nationally has led to the collapse of various stores and chains, and others are struggling.

Tasmania also had the nation's strongest annual turnover growth (6.4 per cent) in trend terms.

National turnover increased by 2.7 per cent for the year, seasonally adjusted.

Premier Peter Gutwein said Tasmania's $579.3 million in turnover in December was a record.

"With our economy the fastest growing in the country and 20,000 jobs created since we first came to office (in 2014), we know our plan is working," Mr Gutwein said.

"The Tasmanian Liberal government will continue to deliver on our commitment to grow the economy and create more jobs to ensure that all Tasmanians have the opportunity to share in the benefits that come from our strong economic growth."

State Treasury analysis of the figures showed Tasmanian spending on discretionary items (wants, rather than needs) had grown faster than spending on essential items such as food and clothing in recent months.

Discretionary goods spending includes household goods, cafes, restaurants and takeaways, department stores and more.

Treasury said Tasmanian retail turnover had largely grown in line with national movements since mid-2014.

However, it had grown at a faster rate than national turnover on average since June 2019.

Tasmanian spending on household goods increased by 1 per cent in December, Treasury said.

Other strong growth categories included cafes, restaurants and takeaways (0.8 per cent), clothing, footwear and personal accessories (0.7 per cent) and food retailing (0.4 per cent).

Source: The Examiner - https://www.examiner.com.au/story/6619190/tasmania-defying-australian-retails-gloomy-run/