KUALA LUMPUR: Retailers and wholesalers have shown a promising trend in incorporating digital and e-commerce in their business plans over the past year, according to the Department of Statistics Malaysia (DOSM).
Chief statistician Datuk Seri Dr Mohd Uzir Mahidin said this encouraging trend was reflected in the annual online retail index, which had risen to a year-on-year sales growth rate of 23.8% in the first quarter of this year from 10.5% in the same quarter last year.
“The contribution of the wholesale and retail trade has shown encouraging growth,” he said at an online media conference today.
The wholesale and retail trade sector boosted its revenue from RM62.4 bil in 2015 to RM92 bil in 2018.
Meanwhile, online retail sales increased at a stronger annual pace from RM0.3 bil in 2013 to RM1.2 bil in 2018.
Mohd Uzir described the sector’s rapid growth as a testament to Malaysians’ rising disposable income year after year.
“The retail sector is a catalyst for the nation’s economic growth; and based on research that was conducted, we are on the right track,” he added.
Meanwhile, Mohd Uzir said several sectors such as wood products, writing products, books and newspapers as well as iron ore and unprocessed metal were among the sunset industries identified.
Textile retailing, food, newspaper agent and food retailing are categorised as ‘industries struggling for survival’ - “Due to their shrinking revenue, these sectors require assistance, especially in terms of rental payment for their premises which represents a big portion of their operational costs,” he added.
Meanwhile, according to the wholesale and retail trade census 2019 for reference year 2018, the country recorded a sales volume of RM1.27 tril for 2018.
In that year, the number of establishments in the wholesale and retail trade sector numbered 469,024 with an annual growth rate of 4.8% since 2013.
Selangor had the most establishments with 94,857, followed by Kuala Lumpur (71,433).
“The wholesale trade sub-sector was the largest contributor to total sales value of goods and services with RM663.7 bil (52.2%), followed by retail trade (RM459.9 bil (36.2%) and motor vehicles (RM147.2 bil; 11.6%),” it said.
Meanwhile, computer usage in business rose to 89.6% in 2018 from 85.5% in 2013. - May 28, 2020, Bernama