Agricultural producer prices registered a drop of 15.4% in the first quarter of 2024 compared to the same period of the previous year, as indicated by the Agricultural Product Group Producer Price Index (IPPA/Cepea) from the Center for Studies Advanced in Applied Economics from Esalq/USP.
This decline in the IPPA/Cepea was influenced by significant reductions in the grains and livestock segments. The IPPA-Grãos/Cepea index fell 25.4%, highlighting the falls in the prices of cotton (20.1%), corn (25.6%), soybeans (almost 29%) and wheat (25%). The IPPA-Pecuária/Cepea also showed a decline, with beef reducing by 16%, pork by 10.8%, milk by 19.1% and eggs by 2.4%.
In contrast to these falls, the IPPA-Hortifrutícolas/Cepea showed an increase of almost 45%, driven by increases in products such as potatoes (67.6%), tomatoes (30.5%), bananas (35.0%), oranges (61.3%) and grape (44.7%). Potato and orange prices reached record levels due to factors such as lower supply and adverse weather conditions, including the effects of the El Niño phenomenon.
While international food prices fell 4.5%, industrial products (IPA-OG-DI) fell 13.2%, and the exchange rate registered a reduction of 3.3% in the period analyzed.
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