Key Sectors Grow as Wholesalers Record Higher Revenues and Profits in 2006

A new report says wholesalers recorded higher revenues and profits in 2006 thanks to growth in business investment and consumer spending coupled with a healthy construction sector.

The Statistics Canada report says the economic environment provided a “very favourable context” for Canada's wholesale trade industry in 2006.

The agency says increased investment by businesses continued to drive revenues while consumer spending was robust, imports of consumer goods grew, construction hit record levels and some prices dropped due to a stronger Canadian dollar.

Total operating revenues for the wholesale industry hit $660 billion in 2006, up 5.8% from 2005. The growth rate was slightly slower than the increases of 7.1% in 2005 and 9.1% in 2004.

Half the 2006 growth came from three groups: petroleum products, building supplies and the “other products” category, which consists mainly of agricultural products, chemicals and recycled metals products.

Summary data and a link to the report are on the Statistics Canada website.