Brazil’s inflation displayed signs of ease in March. The IPCA-15, an important consumer price index rose by 0.44%, after rising by 0.84% during February.
Comparing the current month’s data to that of the previous one, it shows a moderated short-term dynamics in inflation.
IPCA-E (which measures IPCA-15 as a whole) decreased from 1,99% to 1,49% during the same quarter in 2025.
The 12-month reading has decreased to 3.90% from the previous period of 4.10%.
IPCA-15 increased 0.64% by March 2025. This suggests a lower monthly rate this year.
Food and service industries are leading the way in broad-based growth
All nine categories of products and services surveyed showed positive price change in March.
The biggest price increase was in food and beverage with an 0.88% rise.
The personal expenses rose by 0.82 percent, with an increase of 0.09 points.
Other categories saw modest gains, from 0.47 % in clothing to only 0.03% for communication.
The index for personal care and health has increased by 0.36 percent, or 0.05 points.
Personal expenses increased mainly due to higher banking costs (2.12%) and employee costs at home (0.59%).
Personal hygiene products and health insurance increased in terms of personal care by 0.38 % and 0.49% respectively.
The rise of home cooking accelerates dramatically
The food consumed in the home increased by 1.10% compared with a 0.09% rise in February. This had a major impact on the category of foods and beverages.
Acai, carioca, eggs, milk, meats, and long-life dairy products all increased in price.
These increases were offset by declines in ground coffee (1.76%) and fruits (down 1.31%).
Prices for eating out increased by 0.35% in march, compared with 0.46% the previous month.
The increase in meal prices was 0.31% as opposed to the 0.62% of the month before, and snack prices increased from 0.28% up to 0.50%.
Mixed trends in housing and utilities
Housing costs rose by 0.2% in March after rising 0.06% by February.
Residential electricity prices increased by 0.29% on March 15 due to the tariff adjustment of 15,10% for Rio de Janeiro and 14,66% for concessionaires in Rio de Janeiro.
The green tariff was still active, so there were no additional fees.
Water and sewer rates have increased by 0.4% with adjustments of 6.56 % in Belo Horizonte, and 6.21% Porto Alegre.
Tariff reductions in Rio de Janeiro, Curitiba and other cities have caused the price of piped gas to fall by 0.99%.
Changes in airfare and fares can affect transport costs
The monthly transportation cost increase was 0.21%. Airfare contributed the most to this, with a 5.94% rise and 0.05 points of percentage.
Intercity bus prices increased by 1.29 % due to the changes that occurred in Rio de Janeiro, Curitiba and other cities.
Taxi fares increased by 0.56% in Porto Alegre Fortaleza and Salvador.
The fares of urban buses decreased in some cities by 0.59 % due to reductions. These included services that were free on holidays and Sundays.
Negative variations have been noted in Belem and Belo Horizonte as well as Sao Paulo.
The price of fuel fell by 0.03%. This was due to a decrease in gasoline, ethanol and vehicular gas. A rise in diesel was offset by a 3.77 % increase.
Local pressures are highlighted by regional variations
In March, prices increased in ten of eleven areas surveyed.
Recife, with a 0.82% increase in gasoline prices and tomato costs, reported the largest rise.
Curitiba was the only place where prices dropped, by 0.06 percent.
This decline can be attributed to lower prices for fruits, gasoline and vehicle licensing and registration fees.
The post Brazil’s inflation falls in March, IPCA-15 increases 0.44% may change as new information becomes available.
