Wholesale trade, October 2022

Released: 2022-12-16

Wholesale sales reach a new a record high in October

Wholesale sales rose 2.1% to $83.4 billion in October. The largest increases were in the miscellaneous goods, the building material and supplies, and the personal and household goods subsectors, accounting for 82.4% of the monthly gain. Sales rose in six of seven subsectors.

Constant dollar sales rose 0.9% in October.

Chart 1 
Wholesale sales increase in October

Miscellaneous goods lead the increase in October

Sales of the miscellaneous goods subsector rose 5.5% to $13.0 billion in October, rebounding after a sharp decline in September. Monthly gains were reported in four of the five industries, but the bulk of the increase and driver of the rebound was the agricultural supplies industry (+10.4% to $5.2 billion). Higher prices of commodities, availability of transportation and seasonality were driving factors of the fluctuation.

The building material and supplies subsector rose 3.3% to $12.6 billion in October, on higher sales in the lumber, millwork, hardware and other building supplies industry (+6.0% to $6.4 billion), which reported its first increase since March 2022. Products of this industry are mainly equipment for non-residential building supplies and hardware. This movement aligns with the data from the building permits program, reporting an increase of non-residential permits in October.

For a third consecutive month, sales of the personal and household goods subsector increased, up 2.8% in October to $11.6 billion. The gain was led by the pharmaceuticals and pharmacy supplies industry (+3.9%), reaching a level of $6.4 billion, the highest since January 2022. Higher sales of pharmaceutical products reflect the recent availability and authorization of COVID-19 vaccine boosters targeting the Omicron subvariants.

Sales rise in every province

Wholesale sales increased in every province in October. Sales in Quebec, British Columbia and Ontario led the monthly increase and accounted for 78.1% of national sales.

In Quebec, sales rose 3.6% to $15.5 billion in October, the third consecutive monthly increase and the highest level recorded for the province. Sales increased in six of the seven subsectors, led by the personal and household goods subsector (+7.0% to $3.5 billion), driven primarily by gains in the pharmaceuticals and pharmacy supplies industry. Additional contributions to growth in sales in the province came from the motor vehicle and motor vehicle parts and accessories subsector (+9.2%) and from the food, beverage and tobacco subsector (+3.0%).

Sales in British Columbia grew 3.8% to $8.3 billion in October, with higher sales in five of the seven subsectors. The miscellaneous goods subsector (+15.7% to $1.2 billion) and the motor vehicle and motor vehicle parts and accessories subsector (+21.8% to $786 million) led the increase in this province.

Sales in Ontario increased 0.6% to $41.4 billion in October. The driving factors for sales in this province were the building material and supplies subsector (+6.6% to $5.2 billion) and the miscellaneous goods subsector (+3.1% to $5.2 billion). The growth in sales for this province was partially offset by a 2.2% decline in the motor vehicle and motor vehicle parts and accessories subsector.

Inventories continue to grow in October

Inventories rose 0.6% to $125.8 billion in October, the ninth consecutive monthly increase. Increased inventories were reported in four of the seven subsectors, led by the personal and household goods subsector and by the food, beverage and tobacco subsector. Meanwhile, the farm products, machinery, equipment and supplies, and miscellaneous subsectors all saw a decrease in inventories.

Inventories in the personal and household goods subsector rose by 2.5% to $20.8 billion in October. This increase was largely driven by the textile, clothing and footwear industry (+11.8% to $4.7 billion) and the personal goods industry (+2.5% to $2.9 billion).

In the food, beverage and tobacco subsector, inventory levels increased 2.8% to $14.3 billion in October. The increase was mainly due to the food industry (+3.3% to $12.7 billion).

The motor vehicle and motor vehicle parts and accessories subsector (+2.7% to $14.0 billion) also contributed to the growth in inventories in October. This growth was largely due to the new motor vehicle parts and accessories industry (+4.3% to $6.1 billion).

Although there was an overall increase in inventories in October, there was a decline in inventories in three of the seven subsectors. The subsector that fell the most in inventories was the miscellaneous subsector (-2.8% to $18.3 billion). The decline in this subsector was largely due to the agricultural supplies industry (-5.4% to $8.8 billion).

The inventory-to-sales ratio decreased from 1.53 in September to 1.51 in October. This ratio is a measure of the time (in months) required to exhaust inventories if sales were to remain at their current levels.

Products

The product "Monthly Wholesale Trade Survey: Interactive Tool" (Catalogue number71-607-X) is available online. This product is based on the data published in the tables of the Monthly Wholesale Trade Survey: 20-10-0074-01, 20-10-0076-01 and 20-10-0003-01.

Contact information

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