OTTAWA (CP) - More than one one-third of Canadian children aged two to 11 were overweight in 1998-99, and of those about half could be considered obese, says Statistics Canada.

Thirty-seven per cent were overweight in 1998-99 and 18 per cent of that group were obese. That was up from 34 per cent overweight five years earlier and 16 per cent obese, the agency said Friday.

The study by Human Resources Development Canada and Statistics Canada started in late 1994 and early 1995 and went through three cycles to 1998-99.

It also found that as children age, fewer were obese.

In 1994-95, 32 per cent of the children between two to 11 were overweight. Four years later when the same group was age six to 15, that was down to 28 per cent.

Levels of obesity also decreased to 10 per cent in 1998-99 from 14 per cent five years earlier. In all three cycles that data was collected, the oldest age group was always the least overweight.

"In recent years, childhood obesity and low levels of activity have emerged as important issues facing Canadian children," the agency said.

"Obesity in adults is linked to greater health risks, including the increased incidence of coronary disease and type-2 diabetes, although it has also been found that increased activity can temper these negative effects."

The study found more boys than girls were overweight.

"In 1998-99, an estimated 35 per cent of girls and 38 per cent of boys were overweight, including 17 per cent of girls and 19 per cent of boys who were classified obese."

It also found that income was a factor in childhood obesity.

"Higher proportions of children living in low-income families were overweight and obese."

The survey also found, as have other studies, that obese children were not as physically active as their non-obese counterparts.

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