Basic Food Basket Rises in 14 Brazilian Capitals in February, With São Paulo Costliest

Overview

• Dieese/Conab data for February show prices up in 14 of 27 capitals and down in 13, led by increases in Natal (3.52%) and the sharpest drop in Manaus (-2.94%) to R$ 628.90.
• São Paulo posted the highest average basket cost at R$ 852.87, while lower averages were recorded in Aracaju (R$ 562.88), Porto Velho (R$ 601.69), Maceió (R$ 603.92) and Recife (R$ 611.98).
• Bean prices rose in 26 federative units on restricted supply and harvest difficulties, with Campo Grande up 22.05%, and prime beef increased in 20 capitals on tight animal availability and firm exports.
• Coffee prices fell in 21 cities on record-crop prospects and reduced exports, and soy oil declined in 26 cities on abundant supply and a stronger real; sugar, rice and milk also eased in many markets.
• Dieese estimates a necessary minimum wage of R$ 7,164.94 in February—4.42 times the current R$ 1,621—while a minimum-wage earner spent 46.13% of net income and about 93 hours and 53 minutes to purchase the basket.