MercoPress. South Atlantic News Agency

Retail sales keep plunging in Argentina

“Inflation is hitting consumption in all areas of the economy except in the pharmaceutical sector,” CAME said

Argentina's Confederation of Medium-Sized Companies (CAME) said in a report released Sunday that retail sales dropped 3.6% interannually in July for a total 1.6% reduction so far in 2023 as “inflation is hitting consumption in all areas of the economy except in the pharmaceutical sector.”

The most affected item was Textile and Apparel, which contracted 7% year on year while the decline in Food and Beverages reached -4.3%.

CAME also pointed out that there have been “daily price adjustments, suppliers suspending deliveries and no values for some products,” which impacts consumption as wages lag behind inflation.

Food and beverages also accumulated a yoy drop of 1.3% in the first seven months of 2023. In the month-on-month comparison, they fell by 4%.

Footwear and leather goods sales fell 1.7% yoy for a drop of 0.2% in 2023.

Bazaar, decoration, home textiles, and furniture fell by 2.4% interannually, with a 1.8% decline in the first seven months of the year compared to the 2022 cycle. In the month-on-month contrast, they retracted 0.5%.