In March 2016, producer costs for construction increased slightly (+0.3%)Costs of production indices in construction - March 2016

In March 2016, producer costs in construction rose slightly (+0.3%). Prices increased by 0.3% in construction of buildings, and in civil engineering and by 0.4% in specialised construction works.

In March 2016, producer costs in construction rose slightly (+0.3%). Prices increased by 0.3% in construction of buildings, and in civil engineering and by 0.4% in specialised construction works.

Over a year, producer costs in construction continued to decline (−0.5% like the previous month) mostly driven by a significant fall in civil engineering (−3.4%). They decreased more moderately in construction of buildings (−0.4%). They rose slightly in specialised construction works (+0.2%).

tablo1 – Variations in producer cost indices for construction

In %
Variations in producer cost indices for construction
NAF Heading Weights (in %) Mar. 16/ Feb. 16 Mar. 16 / Mar. 15
F Construction 100.0 +0.3 -0.5
41.2 Construction of buildings 10.1 +0.3 -0.4
42 Civil engineering 16.2 +0.3 -3.4
43 Specialised construction works 73.7 +0.4 +0.2
43BT Buildings 64.2 +0.3 +0.5
43BTC New buildings 24.6 +0.3 -0.3
43BTR Existing buildings 39.6 +0.4 +1.0
43TP Specialised works for civil engineering 9.5 +0.4 -2.2
BT Buildings (41.2 + 43BT) 74.3 +0.4 +0.5
TP Public works (42 + 43TP) 25.7 +0.4 -2.9
  • Source: INSEE

tablo2 – Items of producer cost indices for construction

In %
Items of producer cost indices for construction
Costs items Q1 16 / Q4 15 Mar. 16/ Feb. 16 Mar. 16 / Mar. 15
Equipment Buildings -1.6 0.0 +1.6
Public works -0.4 +0.1 -0.2
Labour Labour costs in construction +1.5 /// +2.6
Energy Buildings -5.4 +3.4 -12.9
Public works -5.0 +4.2 -13.8
Materials Construction of buildings -1.8 -0.1 -4.2
Existing buildings -0.9 +0.1 -2.0
Civil engineering -5.0 0.0 -10.1
Specialised works for civil engineering -0.5 -0.6 -1.8
Services Construction 0.0 +0.1 0.0
Transport Buildings -0.9 +0.6 -2.4
Public works 0.0 0.0 +1.4
  • ///: non published estimation
  • Source: INSEE

GRCoutUK – Production costs in construction

  • Source: INSEE

The fall in prices of materials costs eased

In March 2016, material costs were stable in civil engineering, after an uninterrupted decrease since July 2015; over a year, however they fell down by 10.1%.

Likewise, material costs almost stabilised in construction of buildings (−0.1% after −0.5%) and in renovation of existing buildings (+0.1% after −0.4%). On the other hand, in specialised works for civil engineering, these costs still declined (−0.6%, like in the previous month), due to the fall in prices of iron tubes (−3.7%) and of transformed flat glass for building use (−1.6%).

GRMUK – Costs of materials

  • Source: INSEE

Equipment costs were flat

In March 2016, equipment costs were virtually stable in civil engineering (+0.1% after 0.0%).

They were stable in building construction (+0.0% after +0.1%) with unchanged prices of rental of civil engineering machinery and equipment.

GRKUK – Equipment cost

  • Source: INSEE

GRtravailUK – Labour cost in construction

  • Source: INSEE

Energy costs recovered

In March 2016, the costs of energy bounced back in building construction (+3.4% after −0.9% in February) due to the rise in prices of road diesel fuel (+3.4%).

In public works, they recovered even more (+4.2%), the increase in the price of non-road diesel (+9.2%) being stronger.

GRenergie – Energy cost

  • Source: INSEE

revision – Measure of variations' revisions

(in percentage points)
Measure of variations' revisions
Dec. 15 Jan. 16 Feb. 16
F Construction −0.1 −0.1 0.3
41.2 Construction of buildings −0.1 /// 0.2
42 Civil engineering −0.1 /// 0.2
43 Specialised construction works −0.1 −0.1 0.2
  • How to read it: producer cost variation for construction in February 2016 published in May 2016 has been updated from −0.2% to +0.1%, that is to say an upward revision by 0.3 points.
  • Source: INSEE