25 July 2005, 09:49  Japan June supermarket sales down 2.2 pct year-on-year

Supermarket sales in Japan fell 2.2 pct in June from a year earlier to 1.16 trln yen, the 19th decline in 20 months, the Japan Chain Stores Association said. The figures are based on the combined sales of 95 supermarket chain operators running a total of 8,510 outlets. The data has been adjusted to facilitate comparison on a same-store basis. Overall sales were unchanged from the previous year. The government is counting on a sustained pick-up in consumer spending, which underpins 55 pct of the economy, to keep the economy growing despite a sharp decline in Japan's trade surplus. Last week the government reported that Japan's merchandise trade surplus fell 23.5 pct in June from a year earlier, the fifth drop in six months. The Japan Chain Stores Association said supermarket sales last month fell in four of the five product categories. Sales of food -- the largest category accounting for 58.8 pct of overall revenue in June -- fell 2.7 pct from a year earlier, the association said. Sales of household products -- the second-largest category accounting for 19.4 pct of overall revenue -- declined by 2.4 pct. Sales of clothing -- the third-largest category at 14.2 pct of the total -- fell by 0.3 pct. Sales of miscellaneous goods -- the fourth-largest category accounting for 6.9 pct of overall revenue -- dropped 1.7 pct. But revenue from services, a tiny category accounting for just less than 1 pct of the total, rose by 3.2 pct.

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