Provisional statistics of retail sales for June 2020

     The Census and Statistics Department (C&SD) released the latest figures on retail sales today (July 30).
 
     The value of total retail sales in June 2020, provisionally estimated at $26.5 billion, decreased by 24.8% compared with the same month in 2019. The revised estimate of the value of total retail sales in May 2020 decreased by 32.9% compared with a year earlier. For the first half of 2020, it was provisionally estimated that the value of total retail sales decreased by 33.3% compared with the same period in 2019.

     After netting out the effect of price changes over the same period, the provisional estimate of the volume of total retail sales in June 2020 decreased by 25.4% compared with a year earlier. The revised estimate of the volume of total retail sales in May 2020 decreased by 34.0% compared with a year earlier. For the first half of 2020, the provisional estimate of the total retail sales decreased by 34.9% in volume compared with the same period in 2019.

     Analysed by broad type of retail outlet in descending order of the provisional estimate of the value of sales and comparing June 2020 with June 2019, the value of sales of commodities in department stores decreased by 7.0%. This was followed by sales of other consumer goods, not elsewhere classified (-10.0% in value); food, alcoholic drinks and tobacco (-13.2%); jewellery, watches and clocks, and valuable gifts (-56.5%); electrical goods and other consumer durable goods, not elsewhere classified (-8.8%); wearing apparel (-38.8%); medicines and cosmetics (-57.4%); motor vehicles and parts (-17.9%); footwear, allied products and other clothing accessories (-39.7%); Chinese drugs and herbs (-29.0%); books, newspapers, stationery and gifts (-41.3%); and optical shops (-32.5%).

     On the other hand, the value of sales of commodities in supermarkets increased by 4.5% in June 2020 over a year earlier. This was followed by sales of fuels (+8.4% in value); and furniture and fixtures (+0.3%).

     Based on the seasonally adjusted series, the provisional estimate of the value of total retail sales increased by 4.0% in the second quarter of 2020 compared with the preceding quarter, while the provisional estimate of the volume of total retail sales increased by 5.2%.
 
     These retail sales statistics measure the sales receipts in respect of goods sold by local retail establishments and are primarily intended for gauging the short-term business performance of the local retail sector. Data on retail sales are collected from local retail establishments through the Monthly Survey of Retail Sales (MRS). Local retail establishments with and without physical shops are covered in MRS and their sales, both through conventional shops and online channels, are included in the retail sales statistics.
 
     The retail sales statistics cover consumer spending on goods but not on services (such as those on housing, catering, medical care and health services, transport and communication, financial services, education and entertainment) which account for over 50% of the overall consumer spending. Moreover, they include spending on goods in Hong Kong by visitors but exclude spending outside Hong Kong by Hong Kong residents. Hence they should not be regarded as indicators for measuring overall consumer spending.
 
     Users interested in the trend of overall consumer spending should refer to the data series of private consumption expenditure (PCE), which is a major component of the Gross Domestic Product published at quarterly intervals. Compiled from a wide range of data sources, PCE covers consumer spending on both goods (including goods purchased from all channels) and services by Hong Kong residents whether locally or abroad. Please refer to the C&SD publication "Gross Domestic Product (Quarterly)" for more details.
 
Commentary
 
     A government spokesman said that retail sales continued to fall sharply in June from a year earlier, but the rate of fall moderated further as the local epidemic situation abated in the month. For the second quarter as a whole, the volume of retail sales registered a sharp year-on-year decline of 32.5%, narrower than the 37.0% fall in the first quarter.
 
     The spokesman further pointed out that with inbound tourism remaining at a standstill and local consumption hit by the surge in local COVID-19 cases in July and the resultant tightening of social distancing measures, the operating environment for the retail trade has turned more austere again. The Government will monitor the developments closely.
 
Further information
 
     Table 1 presents the revised figures on value index and value of retail sales for all retail outlets and by broad type of retail outlet for May 2020 as well as the provisional figures for June 2020. The provisional figures on the value of retail sales for all retail outlets and by broad type of retail outlet as well as the corresponding year-on-year changes for the first half of 2020 are also shown.
 
     Table 2 presents the revised figures on volume index of retail sales for all retail outlets and by broad type of retail outlet for May 2020 as well as the provisional figures for June 2020. The provisional figures on year-on-year changes for the first half of 2020 are also shown.
 
     Table 3 shows the movements of the value and volume of total retail sales in terms of the year-on-year rate of change for a month compared with the same month in the preceding year based on the original series, and in terms of the rate of change for a three-month period compared with the preceding three-month period based on the seasonally adjusted series.
 
     The classification of retail establishments follows the Hong Kong Standard Industrial Classification (HSIC) Version 2.0, which is used in various economic surveys for classifying economic units into different industry classes.
 
     More detailed statistics are given in the "Report on Monthly Survey of Retail Sales". Users can download this publication free of charge at the website of the C&SD (www.censtatd.gov.hk/hkstat/sub/sp320.jsp?productCode=B1080003). Alternatively, the historical series of retail sales statistics can be downloaded in the form of a statistical table at the website of the C&SD (www.censtatd.gov.hk/hkstat/sub/sp320.jsp?productCode=D5600089).
 
     Users who have enquiries about the survey results may contact the Distribution Services Statistics Section of the C&SD (Tel: 3903 7400; email: mrs@censtatd.gov.hk).




Hung Hom Market to close early today for deep cleaning and disinfection

     The Food and Environmental Hygiene Department (FEHD) today (July 30) announced that in view of a new preliminarily confirmed case of coronavirus disease 2019 found to be related to Hung Hom Market, to safeguard the health and safety of market stall tenants and the public, the FEHD has immediately cleaned and disinfected the areas the patient had used. The market will also be closed an hour earlier today at 7pm for deep cleaning and disinfection.

     During the period, FEHD staff will thoroughly clean and disinfect communal areas and facilities in the market, and call for co-operation of tenants of the market to conduct cleaning and disinfection at their respective stalls, with a view to improving the overall hygiene conditions of the market. In addition, the FEHD will carry out deep cleaning work at the periphery of the market and nearby streets. The cleaning and disinfection work is expected to last about four hours.

     A spokesman for the FEHD said, "The FEHD attaches importance to the hygiene conditions of public markets. In addition to regular cleaning work in the daytime, market service contractors also conduct thorough cleaning in all markets after the markets are closed every day.

     "During this epidemic period, the FEHD has already stepped up cleaning and disinfection of communal areas and facilities in the markets, including toilets, escalators, elevators and stair handrails, with diluted household bleach regularly every day. Disinfectant hand sanitisers are also provided in the markets for public use."

     The FEHD will continue to closely monitor the situation of each market, and will conduct deep cleaning and disinfection work in other markets if necessary so as to maintain environmental hygiene.




HKSAR Government supports Returning Officers’ decisions to invalidate certain nominations for Legislative Council General Election

     The Hong Kong Special Administration Region (HKSAR) Government today (July 30) agrees with and supports the decisions of Returning Officers to invalidate 12 nominees for this year's Legislative Council (LegCo) General Election. The HKSAR Government notes that Returning Officers clearly state that, in determining the validity of nominations, the core question is whether the nominee has complied with the declaration requirement under section 40(1)(b)(i) of the Legislative Council Ordinance (Cap.542), i.e. to uphold the Basic Law (BL) and pledge allegiance to the HKSAR of the People's Republic of China (PRC).

     Under section 40(1)(b)(i) of the Legislative Council Ordinance, nominees for LegCo elections must submit the nomination form in accordance with the statutory nomination procedures. The nomination form must include a signed declaration to the effect that the person will uphold the BL and pledge allegiance to the HKSAR of the PRC.

     Returning Officers have pointed out that, making reference to the HKSAR Court of First Instance's judgment on the Chan Ho Tin case, an intention to uphold the BL in the context of the section 40(1)(b)(i) declaration denotes not just compliance with it, but also an intention to support, promote, and embrace it (paragraphs 132(1) and 142 of the judgment). 

     The HKSAR Government reiterates that upholding the BL is a fundamental constitutional duty of every LegCo Member. People having the following behaviours could not genuinely uphold the BL and could not therefore perform the duties of a LegCo Member, i.e. advocating or promoting Hong Kong independence, self-determination or changing the system of the HKSAR by supporting Hong Kong independence as an option for self-determination; soliciting intervention by foreign governments or political authorities in relation to the HKSAR's affairs; expressing an objection in principle to the enactment of the National Security Law by the Standing Committee of the National People's Congress and its subsequent promulgation as a national law listed in Annex III to the BL; expressing an intention to exercise the functions of a LegCo Member by indiscriminately voting down any legislative proposals, appointments, funding applications and budgets introduced by the HKSAR Government after securing a majority in the LegCo so as to force the Government to accede to certain political demands; and refusal to recognise the PRC's exercise of sovereignty over the HKSAR and the HKSAR's constitutional status as a local administrative region of the PRC. 

     The HKSAR Government states that the nominations of these 12 nominees have been invalidated by Returning Officers since these nominations are not in compliance with the requirement under the Legislative Council Ordinance. Returning Officers are still reviewing the validity of other nominations according to the laws. We do not rule out the possibility that more nominations would be invalidated. The decisions of Returning Officers aim to ensure that the Election is held in strict accordance with the BL and other applicable laws in an open, honest and fair manner. There is no question of any political censorship, restriction of the freedom of speech or deprivation of the right to stand for elections as alleged by some members of the community. The HKSAR Government fully supports Returning Officers in the discharge of statutory duties in accordance with the laws. Any insults and threats targeting Returning Officers will not be tolerated. The Office of the Privacy Commissioner for Personal Data and law enforcement agencies including the Police will follow up on such hostile behaviours.  

     The HKSAR Government respects and safeguards the lawful rights of Hong Kong people, including the right to vote and the right to stand for elections. It also has a duty to implement and uphold the BL and ensure that all elections will be conducted in accordance with the BL and relevant electoral laws.




“Women and Men in Hong Kong – Key Statistics (2020 Edition)” published

     The Census and Statistics Department (C&SD) published today (30 July) a publication entitled "Women and Men in Hong Kong – Key Statistics (2020 Edition)".
 
     This publication is compiled by the C&SD to serve as a ready source of information for those interested in the situation of women and men, and gender equality in Hong Kong. It draws together sex-disaggregated statistics and indicators from a wide variety of sources with a view to depicting the situation of women and men in major economic and social spheres. The key sex-disaggregated statistics contained in the publication are shown in Table 1.
 
     Users can download this publication free of charge at the website of the C&SD (www.censtatd.gov.hk/hkstat/sub/sp180.jsp?productCode=B1130303).
 
     Enquiries about the contents of this publication can be directed to the Social Statistics Branch of the C&SD (Tel: 2887 0592 or email: thematic@censtatd.gov.hk).




Effective Exchange Rate Index

     The effective exchange rate index for the Hong Kong dollar on Thursday, July 30, 2020 is 106.4 (same as yesterday's index).