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China's total retail sales of consumer goods for this year is expected to exceed 7.5 trillion yuan (US$937 billion), up 13 percent year-on-year, according to a report by the Ministry of Commerce.

The report, known as Report on Development of China's Consumer Goods Market, said the situation of the balance between demand and supply will improve during the first half of this year.

Of 600 varieties of major consumer goods, the ratio of goods with basic balance of market demand and supply will be up by 1.5 percentage points, according to the report.

The total rural retail sales of consumer goods for this year is expected to go up by 11.5 percent and the gap between urban and rural area in this regard will further narrow, according to the report.

The total sales volume of means of production will grow by about 12 percent year on year this year to 1.55 trillion yuan, the ministry said.

China's sales volume of production material in 2005 totaled 1.427 trillion yuan, up by 16.2 percent over that of 2004 in comparable prices.

(Xinhua News Agency April 4, 2006)