The Extended National Consumer Price Index (IPCA) of August was 0.87%, the biggest change for a month of August since 2000 (1.31%), despite being 0.09 percentage points (p.p.) below the rate of 0.96% recorded in July. The cumulative IPCA in the year was 5.67% and, in the last 12 months, 9.68%, above the 8.88% registered in the 12 previous months. In August 2020, monthly change amounted to 0.24%.

Eight of the nine groups of products and services surveyed recorded price rises in August. Transportation accounted for the biggest change (1.46%) and for the main impact (0.31 p.p.) Food and beverages (1.39%) accelerated against the previous month (0.60%) and was responsible for the second biggest contribution (0.29 p.p). Housing (0.68% and 0.11 p.p) was in the third position, with a result below that of July (3.10%). Results for the other groups ranged between -0.04% of Health and personal care and 1.02% of Wearing apparel.

The result for Transportation (1.46%) was influenced by the rise of fuels (2.96%), above that in the previous month (1.24%). Gasoline rose 2.80% and accounted for the main individual impact on the monthly index (0.17 p.p.). Other fuels - ethanol (4.50%), vehicle gas (2.06%) and diesel (1.79%) - also rose.

Having risen 0.96% in July, private vehicles rose 1.16% in August. Used cars (1.98%), new cars (1.79%) and motorcycles (1.01%) remained on an upward trend and jointly contributed with 0.10 p.p. to the IPCA of August. Some products and services related to vehicles, such as fuel oil (1.74%), tires (1.43%) and car repair (1.09%) had a smilar behavior.

In public transportation (-1.21%), air fares fell 10.69% and added -0.04 p.p. to the overall index. On the other hand, highlights were increases in ride sharing transportation (3.06%) and intercity buses, which rose 0.62% asa a result of price adjustments (10.67%) in fares in Salvador (3.13%), starting on July 28, and of 5.82% in Belo Horizonte (0.94%), starting o August 17. There was also some residual contribution relative to the 4.83% price adjustment in Porto Alegre (1.87%) starting on July 1st.

In the groupFood and beverages the increase of 1.39% in August was above the result of July (0.60%). Food at home went from 0.78% in July to 1.63% in August, mainly due to the rise of potato (19.91%), ground coffee (7.51%), chicken pieces (4.47%), fruits (3.90%) and meats (063%). In terms of decreases, onion (-3.71%) and rice (-2.09%) stood out.

Food away from home (0.66%) decelerated in relation to May (0.98%), mainly due to snacks (0.24%), whose prices had risen 2.10% in the previous month.

In the group Housing (0.68%) the result was influenced by the rise of electricity (1.10%), which decelerated against the previous month (7.88%). The result is a consequence of fare adjustments of 9.60% in Vitória (10.49%) and of 8.92% in Belém (6.85%), both since August 7, besides the residual contribution relative to the adjustment of 11.38% in one of the concessionaires in São Paulo (0.43%), from July 4th on. Also, the red tariff flag, level 2, which adds R$ 9.492 to every 100 kWh consumed, was in effect in July and August.

Also in Housing, the prices of bottled gas (2.70%) and piped gas (2.40%) rose as well. The subitem bottled gas recorded price adjustments of 1.80% in Curitiba (9.73%), and 5.71% in Rio de Janeiro (5.14%), both starting on August 1st. The change in water and sewage fees (-1.02%) also increased, due to the change in the charging methodology in Belo Horizonte (-13.73%), on August 1st. On the other hand, fares rose in 11.93% in Recife (3.58%), on August 19, of 9.07% in one of the concessionaires in Porto Alegre (2.31%), in effect since August 14, and of 1.62% in Campo Grande (1.32%), in effect since July 24.

As for regional indexes, all the areas surveyed recorded a positive change in August. Brasília recorded the biggest increase (1.40%), due to rise of gasoline (7.76%) and electricity (3.67%). The main result took place in the metropolitan area of Belo Horizonte (0.43%), due to fall of air fare prices (-20.05%) and of water and sewage rates (-13.73%).

In order to estimate the index of the month, the prices collected from July 29 to August 27, 2021 (reference) were compared with the prices in force between June 29 and July 28, 2021 (base).

Due to the sanitary emergency caused by the Covid-19 pandemic, the IBGE suspended onsite price data collection on March 18, 2020. As of this date, prices began to be collected through other means, such as surveys on Internet sites, by phone or email. In the beginning of July 2021, the IBGE gradually resumed onsite data collection at some establishments, as provided for in Ordinance no. 207/2021 of the Presidency of the IBGE.

INPC increases by 0.88% in August

The National Consumer Price Index - INPC increased by 0.88% in June, being 0.14 p.p. below the July figure (1.02%). The cumulative index in the year stayed at 5.94% and, in 12 months, at 10.42%, above the 9.85% registered in the 12 previous months. In August 2020, the rate was 0.36%.

Food products rose 1.29% in August, standing above the July figure (0.66%). Non-food products rose 0.75%, whereas they had recorded 1.13% in July.

All the Major Regions recorded increases in August. Brasília registered the biggest change (1.60%), due to gasoline (7.76%) and electricity (3.67%). The lowest index was that of Fortaleza (0.43%), with decreases in the prices of rice (-2.81%), meats (-2.09%) and personal hygiene items (-1.39%).

In order to estimate the INPC of August, prices collected from July 29 to August 27, 2021 (reference) were compared with the prices in force from June 29 to July 28 2021 (base). The INPC has been calculated by the IBGE since 1979. It refers to households with monthly income of 1 to 5 minimum wages, with a salaried householder. It encompasses ten metropolitan areas in Brazil, besides the municipalities of Goiânia, Campo Grande, Rio Branco, São Luís, Aracaju and Brasília.