Wholesaling: Improved business climate

In wholesaling, the business climate improved. The survey participants were noticeably more satisfied with their current business situation. Also, there were more frequent reports than before of increased sales compared to the same month last year. According to figures from the Federal Statistical Office, real turnover grew by 1% in the past year. In December (last available month), however, sales had fallen by 4.2%. On balance, the business outlook continues to be judged with caution, with optimistic voices gaining slight ground in March. Inventory surpluses rose marginally, while order plans were once again restrictive. The number of employees rose by 1.5% in 2018. In 2017 the increase was 2.7%. According to the results of the ifo Business Survey, new hirings are still planned, albeit not as frequently as in the same month of the previous year. Wholesalers were able to raise their prices more frequently in March than in the first two months of the year. For the coming quarter as well, the survey participants expect good pricing opportunities, with these expectations weakening compared with the annual average for 2018. The wholesale price index fell slightly in the first two months of the current year (0.2%).