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Sinapi

Construction costs decelerate to 0.99% in August

Section: Economic Statistics | Carmen Nery

September 09, 2021 09h00 AM | Last Updated: September 09, 2021 04h24 PM

High construction prices back to the levels of August 2020 - Photo: Helena Pontes/IBGE News Agency

The National Index of Civil Construction (Sinapi), released today (September 9) by the IBGE, increased 0.99% in August, 0.90 percentage points below July’s rate (1.89%) and the lowest change since August 2020. In the cumulative index of the last 12 months, the rate is 22.74%, a little above the 12 previous months (22.60%) and the highest of the time series. The cumulative index from January to August stood at 14.61%. In August 2020, the index was 0.88%.

“The cumulative indicators keep presenting the highest values and growing successively because we are replacing the months with the lowest indices of 2020. But the main highlight in August is that this tis the lowest rate of the last 12 months, getting really close to that of August 2020 (0.89%). August’s rate was very affected by the deceleration in the increases of the share of materials, with no product standing out”, analyses SINAPI’s manager, Mr. Augusto Oliveira.

The national cost of construction, by square meter, changed from R$1,448.78 in July to R$ 1,463.11, of which R$ 866.89 were relative to materials and R$ 596.22, to labor force.

The share of materials changed 1.62%, a drop of 1.26 percentage points (pp) over the preceding month (2.88%). Considering that August 2020 (1.60%), the rate kept at the same level.

Conversely, the share of labor force, with 0.08%, recorded decrease of 0.44 pp over the index of July (0.52%) and also remained almost at the same level of August 2020 (0.09%).

“In the case of labor force, there were agreements in Santa Catarina and Ceará, states with the highest rates: 3.65% and 2.5%, respectively. All the other states recorded changes close to 1%”, analyzes Sinapi manager.

The cumulative indexes in the year are 22.03% (materials) and 5.33% (labor force). In 12 months, the cumulative indices reached 37.69% (materials) and 6.03% (labor force).

Southeast Region posts the highest rise

With the high in the share of materials in all states and collective agreement executed in Santa Catarina, the South Region stood with the biggest regional change in August (1.71%).

The other regions recorded the following figures: 0.90% (North), 1.03% (Northeast), 0.68% (Southeast) and 1.23% (Central-West).

The regional costs, per square meter, were: R$ 1,413.47 (North); R$ 1,378.49 (Northeast); R$ 1,526.39 (Southeast); R$ 1,547.75 (South) and R$ 1,424.02 (Central-West).

Among the states, Santa Catarina registered the highest monthly change, 3.65%, followed by Ceará (2.05%), under the pressure of the salary increase scheduled in workers’ collective convention.

More about SINAPI

The National System of Costs Survey and Indexes of Construction – SINAPI, a joint production of IBGE and Caixa Econômica Federal – Caixa, aims at producing monthly series of costs for the housing sector, and monthly series of median wages for labor force and median prices for materials, construction machinery and equipment and services for the basic sanitation, infrastructure and housing sectors.

SINAPI statistics are fundamental in investment programming, especially for the public sector.  Prices and costs support the preparation, analysis and assessment of budgets, while indices enable the updating of expense values ​​in contracts and budgets.  Access the data on the SIDRA database.



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