PAIC 2016: share of infrastructure works in value of construction industry falls from 41.3% to 29.5% in 10 years
June 07, 2018 10h00 AM | Last Updated: June 13, 2018 02h35 PM
Between 2007 and 2016, the Annual Survey of Construction Industry - PAIC registered a drop in the share of infrastructure works (from 45.6% to 29.5%) in the value added of this sector, while the share of building construction (from 39.7% to 45.9%) and specialized services (from 19% to 24.6%) increased.
The gross revenue added up to R$319.6 billion in real estate development, works and services in 2016. The value of works and construction services hit R$299.1 billion, from which 31.5% came from works hired by public entities (R$94.1 billion) and the rest by physical persons and/or private entities.
A total of 127 thousand companies were active in this industry, employing about 2.0 million persons in 2016. The expenses with wages, withdrawals and other compensation reached R$58.5 billion and the average monthly wage, R$2,235.16.
Works and/or construction services carried out by construction enterprises remained as the most important item in this sector, accounting for 91.4% of its total gross revenue, equivalent to R$292.1 billion in 2016. Other information can be obtained in the support material (on the right side).
Expenses with personnel represent 32.4% of expenditures in construction industry
Both in 2007 and 2016, the main item of costs and expenditures of the construction activity was that related to expenses with personnel, which changed from 29.1% to 32.4%. The consumption of construction material fell from 26.0% to 22.6%. On their turn, works and/or services hired changed from 10.5% in 2007 to 9.5% in 2016.
| Structure of the gross revenue of the construction industry at current values, according to the selected variables - Brazil - 2007/2016 | ||||
|---|---|---|---|---|
| Selected variables | 2007 | 2016 | ||
| Value (1 000 R$) | Percentage share (%) |
Value (1 000 R$) | Percentage share (%) |
|
| Total gross revenue | 132 668 063 | 100.0 | 319 598 283 | 100.0 |
| Works and/or construction services carried out | 123 255 690 | 92.9 | 292 070 216 | 91.4 |
| Development of real estate built by other enterprises | 5 109 088 | 3.9 | 19 588 626 | 6.1 |
| Office, field and laboratory technical services | 246 003 | 0.2 | 262 586 | 0.1 |
| Sales of construction and demolition material | 812 466 | 0.6 | 2 784 396 | 0.9 |
| Resales of real estate | 1 668 103 | 1.3 | 1 149 783 | 0.4 |
| Leasing of manpower | 264 390 | 0.2 | 408 180 | 0.1 |
| Other activities (services, industry, etc.) | 1 312 324 | 1.0 | 3 334 496 | 1.0 |
| Source: IBGE. Diretoria de Pesquisas. Coordenação de Serviços e Comércio. Pesquisa Anual da Construção 2007/2016. | ||||
The share of Infrastructure works in the value added dropped from 41.3% to 29.5% between 2007 and 2016, whereas building construction increased its share from 39.7% to 45.9%. Despite the increase in the contribution of the specialized construction services, they remained with the smallest share of the total value added.
Among the products and/or services provided by enterprises with 30 and more employed persons, residential works were those that mostly gained share in the ranking, changing from the fifth position (15.1%) in 2007 to the first (26.7%) in 2016. The construction of highways, railways, urban works and special artwork, which represented the first position in 2007 (21.4%), fell to 18.4% in 2016.
| Structure of costs and expenditures of the construction industry at current values, according to the selected variables - Brazil - 2007/2016 | ||||
|---|---|---|---|---|
| Selected variables | 2007 | 2016 | ||
| Value (1000 R$) | Percentage share (%) |
Value (1000 R$) | Percentage share (%) |
|
| Total costs and expenditures of the construction industry | 99 877 378 | 100.0 | 266 292 023 | 100.0 |
| Expenditures with personnel | 29 102 503 | 29.1 | 86 266 426 | 32.4 |
| Consumption of construction material | 25 986 226 | 26.0 | 60 257 156 | 22.6 |
| Works and/or services hired from third parties | 10 473 438 | 10.5 | 25 242 860 | 9.5 |
| Consumption of fuels and lubricants | 3 356 510 | 3.4 | 6 610 840 | 2.5 |
| Service of maintenance and repair of machinery and equipment | 3 518 891 | 3.5 | 6 136 247 | 2.3 |
| Rent and leasing | 3 963 413 | 4.0 | 8 407 632 | 3.2 |
| Financial expenditures | 3 047 694 | 3.1 | 11 917 534 | 4.5 |
| Services provided by third parties | 3 281 411 | 3.3 | 10 278 135 | 3.9 |
| Other costs and expenditure not mentioned before | 17 147 292 | 17.1 | 51 175 193 | 19.1 |
| Source: IBGE. Diretoria de Pesquisas. Coordenação de Serviços e Comércio. Pesquisa Anual da Indústria da Construção 2007/2016. | ||||
Participation of Northeast in construction industry increases the most
In regional terms, the survey only takes into account enterprises with five and more employed persons. In spite of losing share, the Southeast remained leading in number of employed persons and value of real estate development, works and/or construction services.
The participation of the Southeast in the total number of employed persons dropped from 52.4% to 48.0% between 2007 and 2016. Concerning value of real estate development, works and/or construction services, it held 56.2% and fell to 51.1%. The South registered the highest growth in employed personnel (13.1% to 16.4%). In regard to value of real estate development, works and/or construction services, that region rose 3.1 p.p.
| Ranking of value of real estate development, works and/or construction services of the enterprises with 30 and over employed persons, according to the groups of construction products and/or services - Brazil - 2007/2016 | ||||
|---|---|---|---|---|
| Groups of construction products and/or services |
Ranking of the value of real estate development, works and/or construction services of the enterprises with 30 and over employed persons | |||
| 2007 | 2016 | |||
| (%) | Position | (%) | Position | |
| CConstruction of highways, railways, urban works and special artwork | 21.4 | 1 | 18.4 | 2 |
| Infrastructure works for electricity, telecommunications, water, sewage and pipeline transportation | 18.2 | 2 | 13.3 | 4 |
| Industrial, commercial and other non-residential buildings | 16.9 | 3 | 13.0 | 5 |
| Specialized services for construction | 15.5 | 4 | 17.7 | 3 |
| Residential works | 15.1 | 5 | 26.7 | 1 |
| Construction of other infrastructure works | 10.3 | 6 | 7.7 | 6 |
| Development of real estate built by other enterprises | 2.7 | 7 | 3.3 | 7 |
| Source: IBGE. Diretoria de Pesquisas. Coordenação de Serviços e Comércio. Pesquisa Anual da Indústria da Construção 2007/2016.Nota: Inclui obras novas. reformas e manutenção. | ||||
The Northeast recorded the biggest gain of share (from 19.5% to 21.4%) in the period, with an increase in the employed persons (19.5% to 21.4%) and in the value of real estate development, works and/or construction services (from 15.7% to 19.2%). In 2007 and 2016, the Central-West and North remained in the fourth and fifth positions, respectively, in both variables.
