IGP-DI rises to 1.74% in December 2019
Fundação Getulio Vargas’ General Price Index – Internal Availability (IGP-DI) increased 1.74% in December 2019, up from the previous month, when the index rose 0.85%. As a result, the indicator, calculated by the FGV´s Brazilian Institute of Economics (FGV IBRE), ended the year up 7.70%. In December 2018, the index fell 0.45% and the 12-month result was a 7.10% increase.
The Broad Producer Price Index (IPA) rose 2.34% in December, following a 1.11% increase in November. Breaking down the results by processing stage, the Final Goods group accelerated from 1.74% in November to 2.88% in December. The main contributor to this increase was the Fresh Food subgroup, which went from 1.74% to 9.79%. The Finished Goods Index, which does not contain fresh foods and fuels for consumption, went up 2.11% in December, against 1.71% in November.
The rate for the Intermediate Goods group rose from -0.20% in November to 0.98% in December. The main reason for this movement was the Fuels and Lubricants for Production subgroup, whose rate went from -2.07% to 4.58%. The Intermediate Goods Index, calculated by excluding fuels and lubricants for production, increased 0.33% in December, after rising 0.15% the previous month.
In the Raw Materials processing stage, the rate increased to 3.25% in December, up from 1.90% in November. The following items contributed to this acceleration: Iron Ore (-6.75% to 1.89%), Raw Corn (7.19% to 10.10%) and Poultry (0.61% to 3.05%). On the other hand, the indicator fell for Beef (15.63% to 7.85%), Soybeans (2.60% to 0.86%) and Sugarcane (0.96% to -0.25%).
The Consumer Price Index (IPC) rose 0.77% in December, up from 0.49% in November. Five of the index’s eight component spending classes saw a higher rate of variation: Food (0.42% to 2.56%), Transportation (0.33% to 1.17%), Health and Personal Care (0.26% to 0.36%), Clothing (0.26% to 0.36%) and Communication (0.14% to 0.16%). In these spending classes, there were notable results for the following items: Beef (8.00% to 16.56%), Gasoline (0.99% to 3.28%), Perfume (0.28% to 0.70%), Clothes (0.38% to 0.50%) and Fixed Telephony and Internet Packages (0.56% to 0.92%).
Meanwhile, the rates of variation declined for the following groups: Housing (0.50% to 0.76%), Miscellaneous Expenses (3.14% to 1.64%), and Education, Literature and Recreation (0.59% to 0.09%). In these spending groups, the biggest decreases were observed for Residential Electricity Charges (2.52% to -5.32%), Lottery Tickets (26.16% to 10.21%) and Airline Tickets (12.35% to -1.93%).
The core IPC indicator went up 0.36% in December, up from 0.23% the previous month. Of IPC’s 85 component items, 46 were excluded when calculating the core rate. Of them, 20 presented rates below the lower cut-off line (0.07%), and 26 recorded variations more than the upper cut-off line (0.54%). In December, the diffusion index, which measures the proportion of items with positive variation rates, was 70.71% – 12.72 percentage points up from 57.99% in November.
The Civil Construction Index (INCC) rose 0.21% in December, compared to 0.04% the previous month. INCC’s three component groups recorded the following variations between November and December: Materials and Equipment (0.06% to 0.05%), Services (0.18% to 0.15%) and Labor (0.00% to 0.32%).
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