JOHANNESBURG, May 16 (Xinhua) -- South Africa's trade conditions have improved immensely to the best level since the middle of 2023, the South African Chamber of Commerce and Industry (SACCI) said on Thursday.

SACCI, the largest chamber of commerce in South Africa, released its Trade Activity Index (TAI), which has greatly improved from 28 in January to 45 in April 2024, although trade conditions were tough at the start of the year.

It explained that 28 percent of respondents to its trade conditions survey were satisfied with trade activity in January, while 45 percent of them were positive about business activity last month.

SACCI noted some positive increases in March and April in sales and new orders, with supplier deliveries and increased inventories also reflecting better overall trade. "The conditions are still in negative territory, but it is at the best level since the middle of 2023. The outlook for the next six months also turned positive as 53 percent of the respondents expect conditions to improve. Seasonal factors played a marginal negative role in trade conditions, although there was more trading day regression in April 2024 than in April 2023," said SACCI in a statement.

People usually spend a lot during the December festive season, and when the year starts, they would have less disposable income to spend.

According to SACCI, 44 percent of respondents experienced higher sales volumes and increased new orders in April 2024, and many have employed more people.

"The challenging trade conditions have relatively less affected employment, as 47 percent of respondents increased their staff component in April. The prospects for additional employment in the next six months declined slightly, with 41 percent of respondents anticipating hiring staff," it said.

The input costs were higher and slightly affected increased sales prices, thereby affecting trade activity, according to the SACCI survey, which led to a slight increase in sales prices, with half of the respondents reporting higher sales prices.

SACCI also noted some increases in international tourist arrivals, while new vehicle sales, although lower, appeared to have stabilized. "Retail trade volumes are subdued, with households having low real disposable income under debt servicing costs and lower salary and wage adjustments," it added.