Producer price index rises 0.06% in August as food costs drive inflation upward
Brazil's producer price index advanced 0.06% in August, driven by rising agricultural and raw material costs, while consumer prices fell.
The Índice Geral de Preços-Disponibilidade Interna (IGP-DI) rose 0.06% in August, a rebound following a 0.86% drop in July. Fundação Getulio Vargas attributed the monthly gain to higher producer prices outweighing consumer deflation. The broad Producer Price Index (IPA-DI), representing 60% of the total, increased 0.10%, aided by gains in soy, corn, cattle, and beef prices. Raw materials also turned from a July decline to an August rise of 1.43%. Conversely, the Consumer Price Index (IPC) fell 0.37% in August due to lower electricity tariffs, airfare, and food costs. The broader IGP-DI index stands at 2.63% higher over the past 12 months. In parallel, OECD consumer inflation climbed 4.14% year-over-year in July of 2026, with energy costs pushing annual energy inflation to 11.6%. This inflationary pressure affected 13 out of 16 member nations.
