RIO DE JANEIRO (Dow Jones)–Prices at Brazilian factory gates were stable in November as the cost of food production in Latin America’s largest economy retreated slightly during the month.

Brazil’s official IPP producer price index was flat in November compared with a revised rise of 0.76% in October, the Brazilian Geography and Statistics Institute, or IBGE, said Tuesday.

The index, which was launched in 2011, measures monthly variations in product prices at the factory gate, not including taxes or freight charges. The IPP rolling 12-month rate was 3.20% through November compared with a revised 4.68% advance through October, the IBGE said.

Wholesale food prices slid 0.4% in November from October, while cost of paper and pulp products retreated 2.31% month-on-month, the IBGE said.

The IPP covers price data on raw materials and processing in 23 industrial segments that represent about 70% of factory activity, including food, textiles, pharmaceuticals, fuels, vehicles and shipbuilding. The index does not yet contain oil production and mining, which are expected to be included next year. Other services such as transportation, lodging, telecommunications and agriculture will also be included at a later date. The IPP figures are not seasonally adjusted, but are subject to revision.

–By Jeff Fick, Dow Jones Newswires; 55-21-2586-6085; jeff.fick@dowjones.com

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