State Treasurer Peter Gutwein seized on Tasmania's retail growth performance after the Australian Bureau of Statistics on Monday estimated September turnover was a record $558 million in trend terms.

"This is $100 million more per month than when we came to government in 2014," Mr Gutwein said.

"In ... September ... retail trade in Tasmania grew at the second highest rate in the country at 0.4 per cent in trend terms, double the national growth rate of 0.2 per cent over the month.

"This is fantastic news for our retailers, particularly as they prepare for the busy summer season ahead."

Monthly turnover increased by 21.3 per cent from $459.9 million in March 2014 - when the state Liberals took office - and September.

It had been on an upward trend since early 2013.

Tasmanian turnover increased by slightly more than national turnover in percentage terms since mid-2014, state Treasury analysis showed.

Treasury found spending on discretionary items (wants, rather than needs) had picked up in Tasmania in recent months.

Spending on essential items such as food and clothing outstripped spending on discretionary items for much of the last two years.

Discretionary retail turnover - including household goods, cafes, restaurants and takeaways, department stores and others - increased by 0.6 per cent in September and 1.6 per cent annually.

Spending on essential items was up 2.8 per cent annually, but grew by just 0.2 per cent in September.

Mr Gutwein said Tasmania had the nation's fastest growing economy and the economy had been ranked second strongest in the nation in CommSec's latest State of the States report.

" ... we know there is more to do to make sure all Tasmanians feel the benefit of a strong economy and that is why we are committed to delivering our plan for Tasmania to invest in the infrastructure and essential services our growing state needs," he said.

Shadow Treasurer David O'Byrne said: "The reality of Tasmania's economy doesn't stack up against the rosy picture painted by government on the back of ABS figures on retail trade released this week."

He said Mr Gutwein had selectively used ABS data to talk up retail trade.

"For example, in Hobart with rents increasing by 4 per cent, insurance costs putting huge pressure on many businesses and general inflation running at 2.4 per cent, this is hardly the great news for small business that Peter Gutwein claims," Mr O'Byrne said.

"The truth is that Tasmania's retail growth has been below the national average for the year to the end of September.

"Treasury's own analysis shows that once inflation is taken into account, retail trade actually declined 0.7 per cent for the year.

"This was the worst result of all states and territories besides New South Wales.

"It's not surprising Peter Gutwein wants to find something to distract from last week's disastrous revelations about the state budget, but cherry-picking retail data is an insult to hardworking Tasmanian business owners and their employees."