Statistics Canada said on Friday that comparable wholesale sales in June reached $92.5 billion, up 9 % from a year earlier and 2.8 % higher than May. The increase marks the fourth rise in five months and reflects growth in all seven subsectors tracked by the agency.
Machinery and equipment fuel the surge
The strongest month‑over‑month gain came from the machinery equipment and supplies subsector, which rose 4.8 % to $20.1 billion. Sales of farm, lawn and garden machinery jumped 25.9 %, reversing a two‑month decline and highlighting renewed spending by Canadian producers and contractors.
Food, beverage and tobacco add momentum
In the food beverage and tobacco subsector, sales climbed 2.8 % to $16.4 billion. Food sales alone were up 3.1 %, driven by higher volumes rather than price hikes, suggesting that retailers are moving more product to meet consumer demand.
Other notable gains included an 8.3 % rise in the agricultural supplies group and a 9.3 % increase in recyclable material sales. The miscellaneous subsector grew 4.7 % to $12.5 billion.
For the second quarter, total wholesale sales, excluding petroleum, oilseed and grain products, reached $272.8 billion, up 4.2 % from the first quarter and 7.9 % higher than a year ago. Volume‑based growth for the quarter was 2.8 %.
Analysts note that the data points to a healthy supply chain at a time when Canadian manufacturers are seeking to replace imported components with domestic production. Strong wholesale activity can bolster GDP growth but may also feed into retail price pressures, a factor for policymakers monitoring inflation.
Because the figures omit petroleum and grain sales, the picture does not capture the full scale of Canada's resource‑driven export economy. Nevertheless, the broad‑based rise across sectors suggests that demand for intermediate goods and consumer products remains resilient.
Industry observers will watch whether the momentum carries into the third quarter, especially as retailers adjust inventories ahead of the holiday season and as global supply constraints ease.
Based on reporting by Global News.