Prices paid to agricultural producers in Brazil fell for the second consecutive month, according to data released by the Center for Advanced Studies in Applied Economics (Cepea) at the Luiz de Queiroz College of Agriculture (Esalq/USP).
The Producer Price Index for Agricultural Product Groups (IPPA/Cepea) showed a reduction of 2.1% in February compared to January, in nominal terms.
The decrease in prices was driven by the 6.2% decrease observed in the grain index. On the other hand, the livestock, fruit and vegetable and sugarcane coffee segments showed an increase in prices, with increases of 0.8%, 6.6% and 0.2%, respectively.
The research also points to a drop in agricultural prices compared to industrial prices in the national market.
The IPA-OG-DI Industrial Products index, calculated by Fundação Getúlio Vargas (FGV), recorded a retraction of 0.7% from January to February.
At the same time, the food price index from the Food and Agriculture Organization of the United Nations (FAO) showed a reduction of 0.8% on the global stage.
Additionally, the official exchange rate, published by the Central Bank of Brazil, increased by 1% in the period.
In an annual analysis, compared to February 2023, the IPPA/Cepea recorded a significant drop of 15.9%, contrasting with the decrease of 4.2% for industrial prices and 10.4% for international food prices . The nominal exchange rate also registered a drop of 4.8% in the same period.
Cepea highlights that the results reflect a certain parity between agricultural price movements in the domestic and international markets, highlighting the challenges faced by the Brazilian agricultural sector in a context of price volatility.
