In October 2022, the volume of services in Brazil decreased by 0.6% compared to the previous month (the highest point in the time series), in the seasonally adjusted series, after accumulating a gain of 5.8% from March to September. The services sector is 10.5% above the February 2020 level (pre-pandemic).

In the non-adjusted series, compared to the same month in 2021, the volume of services had its 20th consecutive positive rate (9.5%). The cumultive index for the year was 8.7% compared to the same period of 2021. The cumulative index in 12 months went from 8.8% in September to 9.0% in October.

By retreating 0.6% in October 2022, compared to September, the volume of services interrupts a sequence of five positive results. It is worth mentioning that, last September, the services sector had reached a new record in the time series, surpassing the level of November 2014. Despite the setback observed in this month, the volume of services is still 10.5% above the February 2020 level, the pre-pandemic threshold milestone.

The 0.6% decline in the volume of services from September to October 2022 was followed by three of the five activities investigated. The highlight was the transportation sector (-1.8%), with negative rates in all investigated segments, whether by mode: land (-1.0%), waterway (-0.6%), air (-10 .1%) and storage and mailing (-1.2%) or by type of use: passengers (-5.5%) and cargo (-2.0%).

The other decreases in the month came from professional, administrative and complementary services (-0.8%) and services rendered to families (-1.5%), with the first being impacted by technical-professional services (-3.7%) and the second, interrupting a sequence of seven positive rates, a period in which it accumulated a gain of 10.8%.

On the other hand, information and communication (0.7%) and other services (2.6%) brought positive contributions in the month, with the first sector accumulating a gain of 4.7% between July and October and the second recovering a good part of the 3.1% decline seen in September.

The quarterly moving average was 0.4% in the quarter ended in October 2022 compared to the level of the previous month, maintaining the predominantly positive behavior since July 2020.

In October 2022, the volume of services increased by 9.5% compared to October 2021, the nineteenth consecutive positive rate. There was expansion in all five activities and growth in 67.5% of the 166 types of services investigated. Among the sectors, transportation, support services for transportation and mailing (12.0%) brought the main positive contribution to the total volume of services. The other advances came from information and communication (8.3%); from professional, administrative and complementary services (8.3%); services rendered to families (10.7%) and other services (6.5%).

The cumulative index in the year, compared to the same period of 2021, rose 8.7%, with positive rates in four of the five activities and in 66.3% of the 166 types of services investigated. Among the sectors, the most important positive contribution came from transportation, support services for transportation and mailing (13.9%), driven by the increase in revenues of road cargo transportation companies; air passenger transportation; road collective passenger transportation; management of ports and terminals; and maritime and port support navigation. The other advances came from services rendered to families (27.9%); professional, administrative and complementary services (7.8%); and information and communication services (3.7%).

In services rendered to families, there was an increase in the revenue of restaurant companies; hotels; catering services; and fitness activities. In professional, administrative and complementary services, the rise came from car leasing; engineering services; electronic payment solutions; business management consulting; billing activities and registration information; intangible asset management; and organization, promotion and management of fairs, congresses and conventions.

In the information and communication sector, the increase in revenues occurred in portals, content providers and other information services on the Internet; software development and licensing; data processing, application service providers and Internet hosting services; Advisory in information technology; other telecommunication activities; and development of custom computer programs.

On the other hand, the sector of other services (-3.6%) recorded the only negative rate for the cumulative indicator in the year, driven by the lower real revenue of plastic material recovery companies; securities brokerages; administration of funds by contract or commission; and administration of exchanges and organized over-the-counter markets.

Services dropped in 22 of the 27 Federation Units

There were decreases in 22 of the 27 Federation Units, compared to the previous month, accompanying the setback of 0.6% in Brazil. The most important impacts came from Rio de Janeiro (-1.0%), Pernambuco (-5.3%), Rio Grande do Sul (-1.9%) and Santa Catarina (-2.5%). São Paulo (0.8%) made the main positive contribution in the month, followed by Mato Grosso (5.0%).

Compared to October 2021, the increase in the volume of services in Brazil (9.5%) was followed by 24 of the 27 states of the federation. The main positive contributions came from São Paulo (12.7%), Minas Gerais (12.4%), Rio de Janeiro (4.4%), Mato Grosso (35.8%), Rio Grande do Sul (7. 5%) and Santa Catarina (6.9%). The negative results came from Mato Grosso do Sul (-6.3%), Federal District (0.9%) and Ceará (-1.5%).

In the cumulative result for the year, compared to the same period in 2021, there were hikes in 26 of the 27 Federation Units. The main positive impacts came from São Paulo (10.6%), Minas Gerais (11.3%), Rio Grande do Sul (11.8%), Rio de Janeiro (2.9%), Pernambuco (12.1 %), Paraná (4.4%) and Bahia (7.9%). The only negative influence came from the Federal District (-1.5%).

Index of tourism activities drops 2.8% in October

In October 2022, the index of tourism activities fell by 2.8% compared to the previous month, thus eliminating a good part of the gain verified in the July-September period (3.0%). As a result, the tourism segment is 2.5% below the February 2020 level (pre-pandemic) and 9.6% below the highest point in the series, reached in February 2014.

Eight of the 12 locations surveyed followed the fall seen in national tourism activity (-2.8%). The most relevant negative influence came from São Paulo (-3.6%), followed by Rio de Janeiro (-3.4%), Federal District (-7.8%), Rio Grande do Sul (-3.6% ) and Paraná (-3.2%). Minas Gerais, on the other hand, marked the main regional advance.

Compared to October 2021, the volume of tourism activities in Brazil rose 16.1%, the 19th consecutive positive rate, driven by the increase in revenue from car rental companies; restaurants; air transportation; catering services; public road transportation for passengers and hotels.

All 12 Federation Units where the indicator is investigated showed progress in services aimed at tourism, especially São Paulo (23.5%), followed by Minas Gerais (32.0%), Bahia (11.6%), Santa Catarina (19.6%), Paraná (14.4%) and Rio de Janeiro (4.7%).

In the cumulative result for the year, the special aggregate of tourism activities grew 34.5% compared to the same period last year, mainly driven by the increase in revenue in companies in the passenger air transportation sectors; restaurants; hotels; car leasing; collective road transportation of passengers; and catering services.

There were rises in the twelve areas investigated, with a highlight to São Paulo (41.9%), followed by Minas Gerais (55.3%), Rio de Janeiro (17.6%), Rio Grande do Sul (43.3%) and Bahia (28.7%).

Passenger transportation (-5.5%) and cargo transportation (-2.0%) show decrease

In October 2022, the volume of passenger transportation in Brazil registered a retraction of 5.5% compared to the previous month, in the seasonally adjusted series, after increasing 1.5% in September. The segment is 4.8% below the February 2020 level (pre-pandemic) and 25.9% below February 2014 (highest point in the time series).

In turn, the volume of cargo transportation fell by 2.0% in October 2022, the second negative result in a row. Thus, the segment is 3.6% below the highest point in its series, reached in August 2022. Regarding the pre-pandemic level, cargo transportation is 29.0% above February 2020.

Compared to October 2021, passenger transportation had the 19th consecutive positive rate, advancing 16.4% in October 2022, while cargo transportation, in the same type of comparison, grew 15.8%, its twentieth sixth consecutive positive result.

In the cumulative result for the year, passenger transportation expanded by 33.5% compared to the same period in 2021, while cargo increased by 15.3%.