The Extended National Consumer Price Index (IPCA) of January increased 0.86% and stood above the 0.79% rate registered in December 2012 in 0.07 percentage points.  It is the highest monthly IPCA since April 2005 (0.87%) and the biggest of January since 2003 (2.25%). Over the last 12 months, the index went to 6.15%, above the 5.84% of the preceding 12 months.

In January 2012, the rate was at 0.56%. The complete publication is available at

https://www.ibge.gov.br/home/estatistica/indicadores/precos/inpc_ipca/defaultinpc.shtm.

Many products of the group food products and beverages had a reduced supply due to weather conditions, causing sharp price increases. Such is the case of tomato (26.15%), potato (20.58%), onion (14.25%), green vegetables (10.86%) and carrot (9.83%).

The main impact in the index this month came from personal expenses (1.55%). The item cigarettes, which increased because of the Tax over Industrial Products (IPI), rose 10.11% and was the major individual impact, responsible for 0.09 percentage points of IPCA.  Even with a slower pace of growth in the income of the domestic workers (from 0.82% in December to 0.58% in January), personal expenses moved from 1.60% in December to 1.55% in January and, even though a little less accelerated, they stood in the second position in relation to  the groups of products and services surveyed.

Among expenses with housing (-0.20%), besides housing rent (1.56%), condominium maintenance fees got 1.18% more expensive and manpower for small repairs in the household, 0.70%. But the group presented a drop of 0.20%, whereas in December it had a high of 0.63%. Electricity bills were 3.91% cheaper, reflecting part of the 18% tax reduction in force in January 24.  That made the item, whose weight in IPCA is 3.33%, exert the most significant down impact in the month (-0.13 percentage points).

The purchase of new cars got 1.41% more expensive, the third item of greater individual impact in the month, accounting for 0.05 percentage points. With 3.22% of contribution to the families’ budget, the price of new cars reflected the beginning of IPI’s reduction, considering the new composition of the rate. The group transportations, with a 0.75% change in December as well as in January, was also influenced by intermunicipal bus fares, which rose 2.84%.  In the case of airfares, even though they have increased 5.15%, they lost force over the previous month, when the rise achieved 17.12%.

In health and personal care, which changed 0.73% against 0.40% in December, there was an acceleration in medical and dental services (1.48%), lab and hospital services (1.33%) and articles of personal hygiene (1.02%).

In the group household articles, the rise reached 1.15%, whereas in December the change was at 0.27%. Repairs rose 1.79%, followed by house appliances (1.59%), TV and sound (1.33%) and furniture (0.96%).

The rate of the group education, which moved from 0.19% in December to 0.35% in January, was influenced by the result of regular courses (0.21%), reflecting the adjustment in the monthly fees of the schools in the metropolitan region of Porto Alegre (2.62%).

The groups apparel (from 1.11% in December to -0.53% in January), communication (from 0.03% to -0.08%) and housing (from 0.63% to -0.20%) fell in January, which made the group non-food products rise less, moving from 0.71% in December to 0.50% in January.

Concerning the areas, the highest index came from Belém (1.06%,) where food products achieved a high of 2.93%. The lowest came from Brasília (0.46%), due to a fall of 1.42% in airfares, as well as in items such as interstate buses, whose fares fell 3.06%.

IPCA has been calculated by IBGE since 1980. It refers to families with monthly income of 1 to 40 minimum wages, whatever the source, and it encompasses nine metropolitan regions in the country, besides the municipalities of Goiânia and Brasília. In order to measure the index of the month, the prices collected between December 29^th and January 29^th of 2013 (reference) were compared to those in force in the period of November 29^th to December 28^th of 2012 (base).

INPC changed 0.92% in January

The National Consumer Price Index (INPC) increased 0.92% in January and stood 0.18 percentage points above the 0.74% result registered in December.  Over the last 12 months, the index stood at 6.63%, above the 6.20% rate of the preceding 12 months. In January 2012, INPC was at 0.51%.

Food products increased 2.10% in January, whereas non-food products stood at 0.43%. In December, the results were 1.13% and 0.58%, respectively.

Concerning the indexes by area, the highest one came from Fortaleza (1,24%) due to the result of urban bus (6,00%), which reflected part of the 12,50% adjustment in force since January 11. The lowest came from Brasília (0.46%), due to a 1.42% decrease in airfares and items such as interstate buses, whose fares fell 3.06%.

INPC has been calculated by IBGE since 1979. It refers to families with monthly income of one to five minimum wages, with a salaried head of the family, and it encompasses nine metropolitan regions in the country, besides the municipalities of Goiânia and Brasília. In order to measure the index of the month, the prices collected between December 29^th and January 29^th of 2013 (reference) were compared to those in force in the period of November 29^th to December 28^th of 2012 (base).