*seasonally-adjusted series

In the seasonally-adjusted series, the national retail trade declined for the second consecutive month in March 2017, registering a rate of -1.9% both in volume of sales and nominal revenue against the immediately previous month. In terms of volume of sales, the national retail recorded a rate of -4.0% in relation to March 2016, 24th negative rate in a row in this comparison. As a result, the retail trade posted a cumulative reduction of 3.0% in the first three months of 2017 and a cumulative rate in the last 12 months of -5.3%. For these same indicators in March 2017, nominal revenue of sales changed -2.0% compared with the same period in 2016 and registered a cumulative rate of 0.5% in the year and of 3.5% in the last 12 months.

In the seasonally-adjusted series, the extended retail trade – which includes retail plus the activities of vehicles, motorcycles, parts and pieces and of construction material – once again registered a negative change in volume of sales over the immediately previous month (-2.0%), after four consecutive months of positive figures. Concerning nominal revenue, the decrease in March 2017 in relation to February was of -2.3%. Compared with March 2016, the extended retail trade retreated 2.7% in volume of sales (34th consecutive negative rate) and -1.2% in nominal revenue. Concerning the cumulative rates, the figures were -2.5% in the year and -7.1% in the last 12 months for volume of sales, and -0.1% and -0.5% for nominal revenue, respectively.

The complete publication of the survey can be accessed here.

Four of eight activities surveyed decline between February and March

In the seasonally-adjusted series, the rate of the retail trade (-1.9%) in terms of volume of sales registered four negative performances among its activities between February and March 2017.

The four activities that recorded negative rates were: Pharmaceuticals, medical and orthopedic articles, toiletries and cosmetics and Office, computer and communication material and equipment, both with -0.5%; Fabric, apparel and footwear (-1.0%); and Hypermarkets, supermarkets, food products, beverages and tobacco (-6.2%).

In the same comparison, the segments that advanced were: Furniture and household appliances (6.1%); Books, newspapers, magazines and stationery (5.6%); Fuels and lubricants (1.1%) and Other personal and household articles  (0.9%).

In the seasonally-adjusted series, the extended retail trade posted a decrease of 2.0% for volume of sales in relation to the previous month. This performance mostly reflected the behavior of the sales of Vehicles, motorcycles, parts and pieces, which registered a rate of -0.1% for volume of sales over February. Concerning the segment of Construction material, which exerts a lower weight in the structure of the extended retail, its volume of sales changed 2.7% between February and March.

BRAZIL - VOLUME OF SALES INDICATORS OF THE RETAIL TRADE AND EXTENDED RETAIL TRADE, ACCORDING TO GROUPS OF ACTIVITY: PMC - March 2017

Source: IBGE, Diretoria de Pesquisas, Coordenação de Serviços e Comércio.
(1) Seasonally-adjusted series
(2) The retail trade indicator comprises the results of the activities numbered from 1 to 8.
(3) The extended retail trade indicator comprises the results of the activities numbered from 1 to 10

Compared with March 2016, volume of sales of the retail trade retreated 4.0%. Among the retail activities, five of them recorded negative changes. In order of contribution to the overall rate, they were: Hypermarkets, supermarkets, food products, beverages and tobacco (-8.7%), followed by Other personal and household articles (-5.3%); Fuels and lubricants (-2.4%); Office, computer and communication material and equipment (-12.4%); and Pharmaceuticals, medical and orthopedic articles, toiletries and cosmetics (-1.8%). The activities that recorded a positive performance in relation to the same month last year were: Furniture and household appliances (10.5%); Fabric, apparel and footwear (11.7%) and Books, newspapers, magazines and stationery (5.7%).

BRAZIL - COMPOSITION OF THE MONTHLY RATE OF THE RETAIL TRADE,
BY ACTIVITY: PMC - March 2016
(Volume of sales indicators)

Source: IBGE, Diretoria de Pesquisas, Coordenação de Serviços e Comércio.
Note: Corresponds to the contribution of the sectoral results to the overall rate.

The segment of Hypermarkets, supermarkets, food products, beverages and tobacco, which changed -8.7% in volume of sales over the same month a year ago, led to the main negative contribution to the overall retail trade rate.  In terms of cumulative results, this activity changed -3.1% in the year and -3.2% in the last 12 months.  Besides the direct influence of the average usual real wage bill of workers and of the unemployment rate, this sector also suffered the so-called base effect this year. Sales in March 2016 were bigger than in March 2017 due to Easter, which reflected the bigger sales of chocolate in this period. In 2017, Easter took place in April.

Having dropped -5.3% against March 2016, the sector of Other personal and household articles, which includes department, jewelry, sports goods and toys stores, posted the second highest negative contribution to the volume of sales rate, being the 20th consecutive month of negative rates in this type of comparison. The cumulative rate in the first three months of the year stayed at -5.3% and, in the last 12 months, at -7.8%.

Having changed -2.4% in volume of sales over the same month a year ago, the segment of Fuels and lubricants was responsible for the third biggest negative impact on the overall result. This activity had been dropping since January 2015, even with declining prices. In the cumulative index in 12 months, the prices were below the overall average of this sector (-2.6% against 4.6% of the overall index, according to the IPCA). This segment stayed at -5.6% in the cumulative index in the year and at -8.3% in the last 12 months.

Having dropped -12.4% in volume of sales compared with the same month a year ago, the activity of Office, computer and communication material and equipment registered the 21st consecutive retreat in this comparison. As to the cumulative figures, a drop of -11.2% was reported in the first three months of the year and of -10.8% in the last 12 months. This activity was influenced by the behavior of the usual real wage bill of the population and of the unemployment rate of workers. 

The volume of sales of the segment of Pharmaceuticals, medical and orthopedic articles, toiletries and cosmetics fell 1.8% in relation to March 2016. In spite of its essential nature, this sector registered the 12th consecutive negative rate in March 2017, maintaining the downward trend since April 2016, when the price adjustments in this sector began. According to the IPCA, the prices of pharmaceuticals in 12 months rose 12.8% against 4.6% of the overall index.  The cumulative rate in the quarter stayed at -2.9% and, in 12 months, at -3.4%.

The segment of Furniture and household appliances changed 10.5% in volume of sales over March last year, exerting the biggest positive impact on the overall retail trade rate. This result was influenced by the price changes of the furniture item: according to the IPCA, the cumulative rate in 12 months was 7.8% in March 2016 and changed to -0.6% in March 2017. The cumulative figures in the first three months of the year and in the last 12 months of this activity were 3.0% and -7.8%, respectively.

The group of Fabric, apparel and footwear advanced 11.7% compared with March 2016, remaining positive for the second month in a row, after registering losses since December 2014. The cumulative rate in the year was 4.7% and, in the last 12 months, -7.4%. The positive result of this activity was influenced by the prices of wearing apparel, which rose 2.2% in 12 months against 4.6% of the general index – according to the IPCA –, and by the summer sales.

The activity of Books, newspapers, magazines and stationery changed 5.7% in volume of sales over March 2016, interrupting 37 consecutive months of negative figures. Nevertheless, the cumulative rates in the year and in 12 months remained higher than the overall retail average: -5.0% and -13.2%, respectively. 

The extended retail trade recorded a change of -2.7% in volume of sales over March 2016. The cumulative rates were -2.5% in the year and -7.1% in the last 12 months. This behavior was mainly due to the negative performance of Vehicles, motorcycles, parts and pieces, which registered an inter-annual result of -6.1%, whereas the segment of Construction material recorded an increase of 9.4%.

Sales fall in 16 of 27 Federation Units between February and March

In the seasonally-adjusted series, the retail sales retreated in 16 out of the 27 Federation Units between February and March 2017. The highest negative changes were reported in Goiás (-13.3%); São Paulo (-5.9%); Acre (-2.5%); and Mato Grosso do Sul (-2.4%).

Compared with March 2016, 17 out of the 27 Federation Units posted negative figures in volume of sales, highlighted by Goiás (-17.0%), the Federal District (-10.3%), Roraima (-9.5%), São Paulo and Espírito Santo (both with -8.9%). On the other hand, ten states registered positive figures, highlighted by Santa Catarina (15.2%), Alagoas (5.8%), Tocantins (5.6%), and Paraná (3.5%). Concerning the participation in the negative rate of retail, the highlights were, in order: São Paulo (-8.9%) and Rio de Janeiro (-7.1%).

In the extended retail trade, 15 states recorded negative changes in volume of sales in the comparison between March 2017 and the same period a year ago. The highest drops were recorded in Goiás  (-15.5%), São Paulo (-7.9%), Rondônia (-7.4%) and Rio Grande do Norte (-5.8%). Concerning the contribution to the negative rate of the extended retail, the highlights were, in order: São Paulo (-7.9%) and Rio de Janeiro (-4.0%).