Hong Kong: Retail sales of jewellery, watches and clocks, and valuable gifts in Hong Kong dropped 16.3 percent in December last year to HK$9.6 billion ($1.23 billion) compared with the same period in 2013, according to the Census and Statistics Department of Hong Kong.

Year-on-year accumulative retail sales of this sector dipped 13.7 percent to HK$102.09 billion ($13.2 billion) from January to December 2014, government figures also showed.

Total retail sales for the month in review reached HK$47.8 billion ($6.16 billion), down 3.9 percent from 2013 while January to December 2014 figures slid 0.2 percent to HK$493.3 billion ($63.6 billion) from the same period two years ago.

The drop in jewellery sales, which the government attributed to slow visitor spending, had a huge impact on December’s total retail sales, according to a spokesman from the Census and Statistics Department.

“Looking ahead, the near-term performance of retail sales will still hinge on labour market conditions and inbound tourism growth,” the spokesman was quoted as saying.

In a separate statement, the Hong Kong Retail Management Association (HKRMA) lamented the negative results, citing retail sales’ positive performance from August to November.

“Most members indicated that overall sales performance in 2014 was satisfactory and in line with their expectations. However, some members experienced an unexpected drop in sales,” HKRMA said.

The group said majority of its members also expect negative results in January while some companies anticipate a low single-digit growth.

Retailers also foresee single-digit growth in Chinese New Year sales, the group said. Total retail sales are expected to grow 4 to 5 percent in 2015, HKRMA added.