July festivities witness a 10% increase in product price, according to IBRE

The typical foods of July festivities became, on average, 10.10% more expensive between July 2013 and June 2014.
Institucional
14 Julho 2014

The specialist from the Brazilian Institute of Economics (FGV/IBRE), André Braz, notes that, following the logic of inflation, the typical foods of July festivities became, on average, 10.10% more expensive between July 2013 and June 2014. This average increase is not exactly the increase the consumer will perceive because this also depends on demand, says the economist, who added: it is possible to note that the high pressure recorded late last year and early this year, because of the drought, materializes in a price increase.The ingredients for the preparation of products, in addition to items such as beef (16.59%), coconut milk (16.13%), beer and draft beer (12.27%), sausage (11.23%), soft drinks and mineral water outside the household (10.86%), Viena sausage and andouille sausage (9.29%) increased more than the inflation accumulated by the Consumer Price Index (IPC/FGV) in the same period, which was 6.55%. These products are not exclusive for the festivities, especially the steaks. People may even reduce consumption, but they will not stop buying them, says André.The list containing 20 items showed that more than half of the monitored products presented an increase above the inflation accumulated in the last 12 months (6.55%). The increase does not accumulate seasonal effects, it is a photograph of the last 12 months, explained the economist.Please click here and check out the full analysis (in Portuguese). 

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