After two years of restricted celebrations due to the Covid-19 pandemic, the Carnival of 2023 it is the first since the discovery of the virus to occur without limitations and controls on revelers, and the return of parties should bring higher prices during this period, according to a survey by the Brazilian Institute of Economics of the Getulio Vargas Foundation (FGV Ibre).
The study points out that the “Carnival inflation” accumulated a high of 15.5% in the last 12 months until January, more than triple the general inflation registered by the IPC-DI (FGV inflation index), which stood at 4.62 % for the same period.
The list contains 26 items tracked in the IPC-DI that are usually consumed during the festive period, ranging from basic services to more specific products for this time of year.
Among the main increases, airfares stand out, which rose 58.83% in the last 12 months, taxi fares (11.82%), contraceptives (11.57%), transport by app (9.93%) and hotels (9.85%).
See the full basket below:
The basket is made up of items from the service sector that are widely consumed during holidays in general, but also specifically during Carnival, such as contraceptives and gastroprotectors, as explained to CNN economist Matheus Peçanha, responsible for the survey.
With regard to makeup items, which rose 6.88% in the period, the economist pointed out that the item is a proxy for assessing the rise in ornaments, costumes and allegories, common during Carnival.
“This basket was expected to increase in 12 months due to the repressed demand due to the pandemic, mainly in the service sector, which was greatly impacted by restrictions and isolation,” said Peçanha.
“Now, the sector has more space to readjust its prices with the return of demand, even with employment and income still compromised. So, revelers who expose themselves to this consumption will spend more, ”he added.
Other items, such as eating out, also rose “considerably” in the survey, according to the researcher. “Fruit juices, açaí, ice cream and mineral water outside the home are often consumed outside the home at this time of revelers”, he explained.
Source: CNN Brasil
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