In January 2021, retail trade in Brazil changed by -0.2%, from December, in the seasonally-adjusted series, after a decrease of 6.2% in December 2020. Thequarterly moving average stayed at -2.2%. In the seasonally adjusted series, retail trade changed by -0.3% from January 2020, first negative rate after seven months with consecutive increases. The cumulative index in 12 months stayed at 1.0%, close to the December figure (1.2%).

In extended retail trade, which includes vehicles, motorcycles, parts and pieces and construction material, volume of sales fell by 2.1% from December 2020, with negative changes for the second month in a row. The quarterly moving average ended January (-1.6%) points to a deceleration in sales, when compared to the quarterly moving average ended December (-0.3%).

In the seasonally adjusted series, the eight sectors surveyed by the Monthly Survey of Trade for retail trade and the ten sectors for extended retail trade had heterogeneous results: Fabric, Wearing apparel and Footwear and Books, newspapers, magazines and stationery recorded negative changes close to two-digit figures. On the other hand, activities such as Other personal and domestic articles recorded increase from December 2020 to January 2021.

Compared to the same month a year ago, , in the seasonally adjusted series, the change by -0.3% interrupted a series of increasing figures registered since September 2020. In regional terms, decrease in the indicators of Amazonas was affected by the limited movement of persons taking place in the last week of January, due to the aggravation of Covid-19.

The cumulative index in the last 12 months was 1.0%, close to the December rate (1.2%).

Extended retail trade fell 2.9% from December 2020, after six months recording positive results. The cumulative index in 12 months for extended retail decelerated from December (-1.4%) to January (-1.9%).

In January, five of the eight activities surveyed recorded negative rates, in the seasonally-adjusted series

The change of -0.2% in volume of sales for retail trade, in January 2021, in the seasonally adjusted series, recorded negative rates in eight of the five activities surveyed: Books, newspapers, magazines and stationery (-26.5%), Fabric, wearing apparel and footwear (-8.2%), Furniture and household appliances (-5.9%), Hypermarkets, supermarkets, food products, beverages and tobacco (-1.6%) and Fuels and lubricants (-0.1%).

On the other hand, increases took place in: Other personal and domestic articles (8.3%), Pharmaceuticals, medical and orthopedic articles, toiletries and cosmetics (2.6%) and Office, computer and communication material and equipment (2.2%).

In extended retail trade, decrease of 2.1% in volume of sales, in January, in the seasonally adjusted series, had a negative effect from Vehicles, motorcycles, parts and pieces, which registered 3.6% and, positive contributions from Construction material, with a change of 0.3%.

Five of the eight activities surveyed in retail trade recorded a decrease from January 2020

From January 2020, retail trade changed by -0.3%, with negative decreases in five of the eight activities surveyed. Fabric, wearing apparel and footwear , with a decrease of 21.1% in January 21 compared to January 2020, accounted for the main negative contribution to retail trade (-1.6 percentage points, from a total -0.3% of retail). Considering the inter-annual indicator, the activity recorded its eleventh month with negative rates, the same period marked by the start of social distancing and closing of shops due to the pandemic. In the last 12 months, the cumulative change was of -24.2%, the main negative result in the series, which has remained on a downward trend since February 2020.

Fuels and lubricants , in the month-on-month indicator recorded a decrease of 8.2%, in a total 11 months of decrease for this indicator. For the overall indicator of retail trade, the segment accounted for the second main negative contribution (-0.8 p.p.). The sector has had major impacts due to restrictions to movement, leading to a decrease in the demand for fuels from March 2020 on. The cumulative index in the last 12 months decelerated, with change from -9.7% in December 2020 to -10.3% in January 2021.

The segment of Furniture and household appliances, in comparison with January 2020, recorded, in January 2021, its worst negative result (-5.4%) after seven months recording positive rates. The sector had a contribution of -0.6 percentage points in the total -0.3% of retail, the third major negative influence. In the last 12 months, the sector had a cumulative increase of 9.1% in January 2021, below the December 2020 result (10.6%), thus pointing to a reduction in the pace of increase.

In the case of Books, newspapers, magazines and stationery, January 2021 recorded a decrease of 53.1% in comparison with the same month a year ago, being more intense than in April 2020 (-70.3%) and the twelfth in terms of negative results. Considering the cumulative index in 12 months, the activity recorded 83 consecutive months with negative rates, closing January 2021 at -38.6%.

The decrease of 12.,9% in January 2021 from January 2020 in Office, computer and communication material and equipment is the thirteenth in terms of negative results; the sector has recorded negative rates for this indicator, since the start of 2020. In the case of the cumulative change in 12 months, the figure of -16,7% in January adds to the 11 months of decrease in a row.

On the other hand, the sector of Hypermarkets, supermarkets, food products, beverages and tobacco recorded, in the January 2021/January 2020 comparison, 1.4%, second increase in a row (3.5% in December 2020). The activity has recorded, since February 2020, a single decrease (November 2020, -1,8%). The cumulative result in the last 12 months (5.2%) is above that of the last 94 months, showing that the indicator was affected in a different way, since its physical shops were not closed during the pandemic.

The activity Pharmaceuticals, medical and orthopedic articles and toiletries for January 2021, compared to the same month in 2020, closed the month at 13.0%, accounting for the main contribution to this indicator (1.3 p.p.), together with Other personal and domestic articles. In the last twelve months, the segment has had a cumulative result of 8.8% since December 2014, similarly to the sector of hypermarkets and supermarkets.

For the segment of Other personal and domestic articles, which encompasses department stores, jewelry shops, sporting goods stores, toy stores, etc., the inter-annual indicator recorded an increase of 9.8%, the eighth and highest figure since November 2020 (16.2%). As previously mentioned, the sector accounted for the main positive impact on this comparison (1.3 p.p.) the same contribution as to pharmaceuticals.

Inextended retail trade, the decrease of 2.9% from January 2021, had, as a major contribution, the result of Vehicles, motorcycles, parts and pieces (-3.8 p.p.), which decreased by -15.3% from January 2020, after two consecutive months of positive results. The cumulative index in the last 12 months recorded nine positive results, and the result of January 2021 (-15.6%) was the most significant one.

Regarding extended retail trade, the sector of Construction Material has been on an upward trend in the last few months. In relation to the inter-annual indicator, January 2021 registered its eighth month with positive rates in a row (12.3%), and this is the lowest in the period. As for the cumulative change in 12 months, the result of 11.6% for January 2021 is the eighth consecutive and the highest one.

Sales fall in 23 of the 27 Federation Units from December

From December 2020 to January 2021, in the seasonally adjusted series the average national rate of retail trade sales recorded a change of -0.2%, with a predominance of negative results in 23 of the 27 FUs, with a highlight to: Amazonas (-29.7%), Rondônia (-9.1%) and Ceará (-4.9%). On the other hand, positive results came from four of the 27 FUs, being the main ones, in terms of magnitude: Minas Gerais (8.3%), Tocantins (3.7%) and Acre (1.1%).

In the same comparison, extended retail trade, between December and January, also had a predominance of negative results: 25 of the 27 FUs had negative changes, with the main ones registered in Amazonas (-33.9%), Rondônia (-5.8%) and Federal District (-4.7%). It is worth mentioning magnitude, in terms of negative figures, both in retail and extended retail trade, was influenced by the limited movement of people, as a result of social distancing measures adopted in the last week of January 2021.

Against January 2020, change in retail trade sales reached -0.3%, with negative results in 14 of the 27 FUs, with a highlight to Amazonas (-24.3%), Rondônia (-8.6%) and Federal District (-8.3%). A total 13 of the 27 Federation Units accounted for positive results, the main ones being: Amapá (17.7%), Minas Gerais (11.9%) and Pará (9.8%).

Considering extended retail trade, in comparison with the result in January 2020, the 2.9% decrease prevailed in 14 Federation Units as well as in retail trade. The main negative results came from Amazonas (-26.9%), Federal District (-10.9%) and Rio Grande do Sul (-9.2%). In terms of positive figures, from the 13 Federation Units recording changes in this respect, Amapá (13.4%), Minas Gerais (7.5%) and Roraima (7.5%) stood out.