Retailers continued to feel pain from the Island's shrinking appetite for spending in September.

The Retail Sales Index, published yesterday by the Department of Statistics, showed that retail spending on the Island fell 5.9 percent to $82.7 million.

The construction industry slump in activity took its toll on building materials and hardware suppliers, who recorded a 32.4 percent drop in sales — the sector's largest decline in the past decade.

Overseas purchases declared by returning residents at LF Wade International Airport also fell, sliding 12.9 percent to $5.4 million, compared to $6.2 million recorded in September 2009.

The building materials, motor vehicles and apparel segments reported the largest year-over-year percentage declines.

After adjusting for the annual retail sales rate of inflation, measured at 2.8 percent in September 2010, the volume of retail sales contracted by 8.5 percent. This was a smaller drop than August's alarming 11.5 percent drop, but nevertheless it was bad news for many local businesses.

There were 24 shopping days in September 2010, one less than in 2009. This was due to Hurricane Igor arriving on a Monday, which prevented businesses from operating that day.

Motor vehicles stores saw their sales decline 24.4 percent as fewer vehicles were sold.

The 12.6 percent fall on apparel retailers' sales — the worst figure for 13 months — was attributed to effects of Hurricane Igor, as many residents spent the Saturday before the storm at home preparing.

Food stores sales went up 2.3 percent. However, food prices were three percent higher, indicating a decline in the quantity of goods sold.

Boat and marine supplies stores experienced a sales drop of 19.6 percent, while tourist-related stores saw a fall of 6.2 percent and furniture, appliances and electronics stores saw a two percent dip. The pharmaceuticals subsector was the only one to record a gain, as it saw sales rise 1.7 percent.

Despite a 2.6 percent increase in the price of gasoline, services stations recorded a sales decrease of 0.1 percent.