Construction costs in June reduced by 0.1%

25.07.2014

Compared to May, level of construction costs in Latvia in June 2014 decreased by 0.1%. Prices of building materials dropped by 0.3%, maintenance and operational costs of machinery and equipment – by 0.1%, but labour remuneration of workers increased by 0.3%.

Compared to June of the previous year, average level of construction costs grew by 0.7%. Labour remuneration of workers increased by 2.1%, maintenance and operational costs of machinery and equipment - by 1.1% and prices of building materials - by 0.1%

Construction cost indices

(2010=100)

Data source: Central Statistical Bureau of Latvia

In the 2nd quarter of 2014, compared to the 2nd quarter of 2013, on average construction costs increased by 0.4%. Labour remuneration of workers went up by 3.6%, maintenance and operational costs of machinery and equipment – by 1.1%, but prices of building materials reduced by 0.9%.

In 2014 data on the prices of construction resources are provided by about 180 construction enterprises and 30 trade enterprises. Moreover, construction cost index calculations are also based on the prices of building materials submitted by the enterprises for the calculation of producer price indices in industry and import price indices.

The sample includes construction enterprises with the highest value of own account construction works in 2013. The share of enterprises with the value of own account construction work exceeding EUR 1.4 million (LVL 1.0 million) per year comprised 64%, in 20% of which the value of own account construction work exceeded EUR 7 million (LVL 5.0 million) per year. The criterion for the sample of trade enterprises is their turnover and specialisation.

More information on construction costs is available in the Producer prices. Information on changes of construction costs in July 2014 will be published on 27 August.

 

More information:
Producer Price Indices Section
Jeļena Kovaļova
tel. +371 67366884