IPPA/CEPEA: Producer Price Index Falls Nearly 4% in January
According to the University of São Paulo's CEPEA research center, the Agricultural Producer Price Index (IPPA/CEPEA) saw a nominal drop of 3.75% in January 2026 compared to the previous month. This decline was primarily driven by significant reductions in horticultural and grain prices, with livestock and sugarcane-coffee sectors also experiencing decreases. Internationally, dollar-denominated food prices rose slightly, but the appreciation of the Real led to a decline in international food prices when measured in Brazilian currency.
The University of São Paulo's CEPEA research center reported that in January 2026, the Agricultural Producer Price Index (IPPA/CEPEA) experienced a nominal decrease of 3.75% compared to the previous month. This monthly decline was attributed to contractions observed across all sub-groups of the Index. Horticultural products (IPPA-Hortifrutícolas) saw the most significant drop at 7.69%, followed by grains (IPPA-Grãos) with a 5.44% decrease. Livestock (IPPA-Pecuária) and sugarcane-coffee (IPPA-Cana-Café) prices also fell by 2.74% and 0.63% respectively.
Conversely, the General Price Index (IPA-OG-DI) registered a slight increase of 0.92% during the month, indicating that agricultural prices underperformed industrial prices in January. On the international front, dollar-denominated food prices advanced by 0.33%. However, the Brazilian Real's appreciation of 2.11% against the dollar resulted in a 1.79% fall in international food prices when measured in Reais.