Wholesale sales remain steady

Wholesale sales (excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain) grew 0.3 percent to $82.9 billion in December, according to Statistics Canada. Sales increased in three of the seven subsectors, led by the personal and household goods subsector and the food, beverage, and tobacco subsector. On an annual basis, wholesale sales (excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain) in December 2023 were 1.2 percent higher compared with the same month one year earlier.

The personal and household goods subsector, up for a third consecutive month, posted its largest increase of the year, rising 4.1 percent to $12.1 billion in December. The building material and supplies subsector sales increased 1.3 percent to $12.2 billion; this increase was driven by a four percent increase year over year in electrical, plumbing, heating, and air conditioning equipment and supplies and a 1.8 percent increase in lumber, millwork, hardware, and other building supplies.

In December, six of the provinces and territories reported growth in wholesale sales (excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain), led by Ontario (+1.2 percent) and Quebec (1.5 percent).

Wholesale inventories increased 1.2 percent to $129.5 billion in December, reaching levels similar to those observed in the initial months of 2023. The inventory-to-sales ratio increased from 1.55 in November to 1.56 in December. This ratio is a measure of the time (in months) required to exhaust inventories if sales were to remain at their current levels.