Canadian Wholesale Sales Improve

OTTAWA (CP) -- Wholesale sales in current dollars edged up 0.3 percent to $41.1 billion in October, the fourth increase in five months.

Statistics Canada reports sales by volume were up 0.4 percent.

The agency attributed the sales increase mainly to the automotive products and machinery and electronic equipment sectors, where growth offset weak sales in food, beverages and tobacco products.

Overall, five of the seven wholesale trade sectors posted stronger sales.

Automotive product sales climbed 1.5 percent to $6.6 billion after falling in August and September.

StatsCan says the upturn was due to a 2.6 percent rise the motor vehicles trade group, fuelled by stronger demand for passenger cars in Canada and the United States.

The New Motor Vehicle Sales Survey reports passenger car sales in Canada were up 5.3 percent over September, while Canadian exports of passenger cars rose 4.7.

The machinery and electronic equipment sector rose 1.1 percent in October, largely due to a 4.1 percent hike in sales for wholesalers of computers and other electronic equipment.

The only declines were in the food, beverage and tobacco products sector, down 1.8 percent, and the "other products" sector, down 0.2.