MercoPress. South Atlantic News Agency

Xmas spending recovers in Argentina

Argentines returned to stores this Christmas season after two years when holiday spending was negligible amid an economic depression, a report released Thursday indicated.

Holiday sales nationwide were up 22 percent over last year, while in some regions, Christmas sales were 35 percent higher than in 2002, according to CAME, a retailers' association.

Compared with the two previous Christmases, there was clearly a "notable intent by the consumer for everyone in the whole family to have some Christmas present." Few people gave presents in 2001 and most families bought gifts only for the children in 2002, the study said.

On average, consumers spent between 8 and 22 pesos ($2.70 and $7.50) for each present in 2003.

The greatest sales increases were noted in the costume jewellery industry, with a 36 percent rise; and the toy industry, with a 35 percent rise.

Food sales grew 16 percent, with supermarkets running out of typical Christmas foods like sweet bread and fruitcake.

Another important recovery took place in electrical appliance sales, up 18 percent from Christmas 2002, especially in the "sale of air conditioning units, which surpassed all expectations."

Argentina this year saw the beginnings of an economic recovery after a five-year-long slump that pushed unemployment to more than 20 percent and left half the populace living below the poverty line.