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Construction costs rise 1.82% in November, the highest increase since July 2013

Section: Economic Statistics | Caio Belandi

December 08, 2020 09h00 AM | Last Updated: December 08, 2020 10h42 AM

Steel prices increased nationally and influenced the result of Sinapi - Photo: Pixabay

The National Index of Civil Construction (Sinapi), released today (8) by the IBGE, rose 1.82% in November, the highest increase of the year and the biggest change since the tax exemption in July 2013. The result is 0.11 percentage points above October (1.71%). In the year, the cumulative index was 8.06% while in the last twelve months it was 8.30% against 6.48% in the preceding twelve months. In November 2019 the index was 0.11%.

The result of the month is related to the share of materials, which registered an increase of 3.15%, a smaller increase, but very close to that observed in October (3.17%). In comparison with November of the previous year (0.17%), there was an increase of 2.98 percentage points.

“The steel segment was the one with the highest increase in all regions. Of the three products with the greatest change, two are from the steel segment. There was also a considerable increase in the segment of aggregates (sand and stone) and ceramics (bricks and ceramic tiles), but steel had an increase spread all over the country, especially rebar”, explains the survey manager, Augusto Oliveira.

Mr. Oliveira claims thatthe share of workforce also influenced the November Sinapi result due to collective agreements: “Salary increases were granted in three states: Goiás, Rondônia, and mainly, Rio Grande do Sul. So, the share of workforce had a change greater than that of October, when this type of increase did not occur”, he explains. The rate registered a rise of 0.25%, increasing 0.21 percentage points in relation to the previous month (0.04%) and 0.20 percentage point against November 2019 (0.05%).

South has the highest monthly change

The South region, with a significant increase in materials in all states and an increase in the number of professionals in Rio Grande do Sul, had the greatest regional change in November: 2.23%. The smallest change was in the Southeast: 1.59%. The other regions presented the following results: North (1.90%), Northeast (1.93%) and Central-West (1.79%).

With regard to regional costs per square meter, the South recorded the highest value (R$ 1,305.70), followed by the Southeast (R$ 1,295.73), with North (R$ 1,266.21), Central-West (R$ 1,243.97) and Northeast (R$ 1,173.31) closing the set.

Among the states, Goiás, with an increase in the share of materials and of workforce, was the state that presented the greatest monthly change: 3.34%.

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