The Extended National Consumer Price Index (IPCA) recorded change of 0.41% in August, being close to the July rate, 0.43%. As a result, the index accumulated in the year is 3.18%, significantly below the 4.42% recorded in the same period of the previous year. Considering the last twelve months, the index was 5.24%, slightly above the 5.20% relative to the immediately previous months. In August 2011, the rate was 0.37%. The complete publication is available at: https://www.ibge.gov.br/home/estatistica/indicadores/precos/inpc_ipca/defaultinpc.shtm

See below the results by group of products and services surveyed.

IPCA has been calculated by IBGE since 1980. It refers to families with monthly income of one to forty minimum wages, whatever the source. It encompasses nine metropolitan areas in the country, besides the municipalities of Goiânia and Brasília. In order to measure the index of the month the prices collected from July 28 to August  27 (reference) were compared with the ones in effect from June 29 to July 27 (base). 

INPC changed by 0.45% in August

The National Consumer Price Index (IPCA) recorded change of 0.45% in August, being close to the July rate, 0.43%. As a consequence, the accumulated index closed the year at 3.46%, below the rate of 4.14% relative to the same period of 2011. Considering the last twelve months, the index was 5.39%, lower than that of the immediately previous twelve months (5.36%). In August 2011, INPC was 0.42%.

Food products recorded change of 0.89% in August, whereas non-food products rose 0.27%. In July, the results were 0.89% and 0.29%, respectively.

Among the regional indexes, the main impact was Fortaleza (0.83%), considering the results of food products (1.45%), electricity (1.98%), residential rents (1.41%) and gasoline (2.61%). The index of São Paulo (0.27%) was influenced by the result of electricity (-3.02%), and reflected the strong reduction in PIS/PASEP/COFINS in one of the supplying companies.

See below the table of results by area:

Similarly to what happened in the previous month, among the groups of products and services surveyed, food products and beverages recorded the biggest result,  having changed by 0.88% in August, after having reached 0.91% in July.

The metropolitan areas of Fortaleza and Curitiba recorded the biggest hikes in food products, with 1.36% and 1.30%, respectively.  Belém recorded the lowest result, 0.47%

A kilogram of tomatoes, which rose up to 50.33% in July due to the reduction of supply, remained on a downward trend and became 18.96% more expensive in August. Despite its moderate rate of price rise, it remained on top of the ranking of major impacts, with 0.06 percentage points. The product has accumulated increase of 76.46% this year.

Besides tomatoes, other food products affected the result of the month, according to the table below:

Among the products which recorded decrease in the month, the highlights were:

 Besides food products and beverages, five of the nine groups of products and services surveyed rose from July to August. Health and personal care (from 0.36% in July to 0.53% in August) was affected by medicines, the price of which rose 0.48% (0.21% in July). The main highlight in this case was the metropolitan area of Curitiba, where there was rise of 2.06%.  Articles of personal hygiene also affected the group by rising from 0.17% in July to 0.52% in August.

The group education (from 0.12% to 0.1%) reflected the results obtained in the month of August relatively to price adjustments effected in the second semester of the year. Regular courses changed by 0.32%, whereas other courses (computing, languages, etc.) recorded hike of 1.39%.

Among household articles (from -0.01% to 0.40%), the increase from one month to the other was influenced by the items furniture, which rose from -0.14% to 0.60%, and household appliances, with a change from 0.22% to 0.68%. 

Apparel (from 0.04% to 0.19%), with the beginning of the trading of products for the current season, and transportation (from -0.03% to 0.06%) also recorded price hikes in August. The group transportation was affected by fares of urban buses (from 0.17% to 0.46%) which rose by 10.00% in the metropolitan area of Belém starting on August 1^st; car repair services (from 0.49% to 0.67%) and new cars (from 0.01% to 0.34%).

In addition to that, the fall of fuels was reduced, and ethanol recorded change of -0.82% in August, versus -2.00% in July and gasoline, with decrease of 0.09% versus -0.43% of the previous month.

The groups personal expenses (from 0.091% to 0.42%), housing (from 0.54% to 0.22%) and communication (from 0.15% to 0.01%) recorded results below those of July.

In personal expenses, the item domestic worker – which changed from 1.37% to 1.11% and, even so, featured in the second position among monthly impacts, with 0.04 percentage points – had a difference in its calculation methodology. The same occurred to manpower for small repair (a part of housing), which rose from 0.39% to 0.56%. In Rio de Janeiro, exceptionally, due to the lack of availability of data of the Monthly Employment Survey (PME) relative to June, the calculation included the latest income figures informed for that area (relative to May), in order to estimate the trends of the income series in August. So, starting in May, the results for Rio de Janeiro were estimated three months ahead, instead of two, which is the methodology adopted. The other areas followed the regular procedures described in the technical notes 01/2007 and 02/2007, being estimated two months ahead considering the income of June collected through PME.

Still in the group of personal expenses, besides domestic workers, another highlight was the item recreation, which changed from 0.97% in July to -0.54% in August.

Considering expenditure on housing, manpower for small repair rose more in August than in July, as well as cleaning articles (from 0.50% to 0.63%), condominium fees (from 0.96% to 1.06%) and water and sewage fares (from 0.25% to 1.04%), in which the main highlight was the rise by 13.85% in Rio de Janeiro, effected on August 1^st. Other important items in the budget of families, however, had the opposite effect, and caused decrease of the result of the group from one month to the other. These are: residential rents (from 1.16% to 0.43%), electricity (from 0.04% to -0.83%) and cooking gas (from 0.12 to -0.48%). A highlight, in the result of electricity, was the contribution from São Paulo, where accounts fell by 3.04% due to the significant reduction of PIS/PASEP/CONFINS of one of the supplying companies. Another highlight was the municipality of Goiânia, where fares became 2.04% cheaper, also as a result of the reduction of taxes. As a result, the item electricity accounted for the main negative impact (-0.03 percentage points).

Consequently, non-food products had a rate of 0.27% in August, almost the same as in July (0.28%).

Among the indexes by area, the biggest one was that of Belém, due to urban bus fares (8.50%), the rates of which rose by 10.00% on August 1^st, besides electricity (4.61%), whose rates have risen by 6.38% since August 7. The smallest indexes were those of São Paulo and Goiânia, both with change of 0.31%.  The index of São Paulo was influenced by the result of electricity (-3.04%), and reflected the strong reduction in PIS/PASEP/COFINS of one of the supplying companies. The index of Goiânia was also influenced by electricity (-2.04%), being the highlight not only the reduction in PIS/PASEP/COFINS, but also the moderate result of food products (0.55%), below the national average (0.88%).  See below the table of results by area:

 INPC has been calculated by IBGE since 1979. It refers to families with monthly income of one to five minimum wages, whatever the source. It encompasses nine metropolitan areas in the country, besides the municipalities of Goiânia and Brasília. In order to measure the index of the month the prices collected from July 28 to August 27 (reference) were compared with the ones in effect from June 29 to July 27 (base).