A poll showed that South Korean retailers mostly have pessimistic expectations on business conditions in the second quarter due to sluggish demand, the Yonhap News Agency reported on Tuesday.

According to a poll by the Korea Chamber of Commerce and Industry (KCCI) said that its retail business index, for which a reading below 100 means that pessimists exceed optimists, hit 75 for the second quarter of 2009, up from 73 for the first quarter.

The figure has hit below the benchmark 100 for five consecutive quarters since the January-to-March period of last year.

"Consumer sentiment remains sluggish amid the deepening global economic downturn. The government and companies should focus on boosting domestic demand at the earliest date possible," the chamber said.

According to the survey, 43 percent of retailers polled said that a decline in consumption will be the biggest issue in the second quarter, while 17 percent pointed to higher product prices as the biggest challenge.