In 2017-18, the retail and wholesale trade industry contributed $1.3 billion in real terms to the NT’s economy. As a percentage share of Gross State Product (GSP), the industry contributed 4.9% in 2017-18, only slightly below the 10‑year average of 5.0%.
Retail and wholesale trade expenditure in the NT has grown by an average of 4.2% per annum in the 10 years to 2017-18. In the past four years growth has moderated below the 10‑year average, but still increasing by 3.6% in 2014-15, 0.5% in 2015-16, was flat in 2016-17 and 2.2% in 2017-18 (Chart 1).
While the retail and wholesale trade industry contributes just under 5.0% of total NT GSP, it accounted for 9.8% or 13 512 of the total resident workforce in 2017-18. Of these, more Territorians were employed in retail trade (83.0%) compared to wholesale trade (17.0%).
Nationally, retail and wholesale trade, as a share of total employment, has trended downward since 2012‑13 with a share of 13.3% in 2017-18, below the 10‑year average of 14.1%. The main contributor to this share of employment is the retail industry, which consisted of 1 288 250 employed persons in 2017-18 and accounted for 10.3% of total employment.
Since then, recent data shows the employment in the retail and wholesale industry declined by 4.3 per cent to 13 133 persons in the year to November 2018. This was largely driven by a decline in the retail trade sector (down 5.9%) (Chart 2). Overall, the proportion to total resident workforce fell by 0.2% to 9.6%, however retail and wholesale trade remains the Territory’s fourth largest employing industry.
For the latest available data and analysis about the NT’s retail market, see the Department of Treasury and Finance’s Retail trade economic brief.
In the year to September 2018, retail turnover in the NT increased by 0.1% to $3.1 billion, remaining well below the 10‑year average growth rate of 1.8% (real terms) (Chart 3).
In the year to September 2018, growth in NT retail trade was the result of increased spending on household goods (up 3.2%), which contributed to 15.5% of total retail turnover, and clothing, footwear and personal apparel (up 4.5%), which contributed to 5.6% of total retail turnover (Chart 4).
In contrast, growth in retail trade was slightly offset by decreased spending on:
Nationally, retail turnover increased by 2.4% to $317 billion in the year. The main industries contributing growth in retail trade were clothing, footwear and personal apparel (up 5.0%), household goods (up 4.5%), and other retailing (up 1.5%).
Table 1 compares the changes in the NT’s retail spending in 2017-18, and the average annual change by sector over the past decade.
Wholesale trade is a smaller component of NT GSP and a much smaller share of employment relative to retail trade. Wholesale trade is the sale of new or used goods to businesses and institutional users, but excludes government users. Activity in the NT’s wholesale trade industry is mainly in industrial storage and equipment, transport and food wholesaling. The Australian Bureau of Statistics (ABS) does not publish disaggregated data on wholesale trade by jurisdiction.
Wholesale trade in the NT continues to contribute a smaller proportion (43.6% in 2017‑18) to the retail and wholesale trade industry than nationally (47.2%). In 2017-18, wholesale trade increased by 4.5% to $556 million, and was higher compared to 1.7% in 2016-17. This modest increase was still well below the 10‑year historical average growth rate of 8.0% (Chart 5). Despite the relatively small size of the wholesale trade industry, it has more than doubled over the past 10 years likely due to the effect of major projects in the NT. Nationally, the value of wholesale trade increased by 0.7% in 2017-18, well below the 10‑year historical average growth of 2.6%.
The analysis on the components of retail activity is based on ABS data on retail trade, which is measured on a different basis to the GSP data. For the latest available data and analysis about the NT’s retail market, see the Department of Treasury and Finance’s Retail trade economic brief. This quarterly release is based on chain volume or inflation adjusted estimates and differs from the monthly statistics which are based on current prices.
There is no corresponding economic brief for wholesale trade industry and the ABS does not publish disaggregated data on wholesale trade by jurisdiction.
The ABS provides useful information and sources about the retail industries. The publication presents an estimate value of retail trade turnover for Australian businesses classified by industry, state and territory.