Lower prices of materials led to a fall in the construction price index in the second quarter
According to Statistics Estonia, in the second quarter of 2023, the construction price index decreased by 0.5% compared with the first quarter and increased by 6.8% compared with the second quarter of 2022.
The construction price index expresses the change in construction expenditures taking into consideration the price changes of three basic inputs: labour force, building machines, and building materials. The calculation of the construction price index covers four groups of buildings: detached houses, blocks of flats, industrial buildings, and office buildings. The repair and reconstruction work price index covers office buildings.
Ülo Paulus, leading analyst at Statistics Estonia, said that in the second quarter of this year, compared with the second quarter of 2022, the construction price index was primarily influenced by the rising cost of building materials, which accounted for 55% of the total index rise. “Compared with the first quarter of 2023, labour force was 0.6% more expensive, the cost of using building machines rose by 1.1%, while the price of building materials fell by 1.3%,” added Paulus. The prices of wood and metal and products made of these materials mostly continued to decline.
The repair and reconstruction work price index fell by 0.3% compared with the first quarter of 2023 and rose by 9.1% compared with the second quarter of last year.
|
|
1st quarter 2023 – |
2nd quarter 2022 – |
|---|---|---|
|
TOTAL |
-0.5 |
6.8 |
|
labour force |
0.6 |
7.4 |
|
building machines |
1.1 |
11.9 |
|
building materials |
-1.3 |
6.1 |
|
Index of detached houses |
0.1 |
7.5 |
|
Index of blocks of flats |
-1.1 |
5.6 |
|
Index of industrial buildings |
0.1 |
8.2 |
|
Index of office buildings |
-1.0 |
4.8 |
|
|
1st quarter 2023 – |
2nd quarter 2022 – |
|---|---|---|
|
TOTAL |
-0.3 |
9.1 |
|
labour force |
0.4 |
7.0 |
|
building machines |
2.0 |
10.4 |
|
building materials |
-0.8 |
9.5 |
Statistics Estonia collects and analyses data for the construction price index for the Ministry of Economic Affairs and Communications to understand how the Estonian economy is doing.
See also the dedicated section on prices.
When using Statistics Estonia’s data and graphs, please indicate the source.
For further information:
Helen Maria Raadik
Media Relations Manager
Marketing and Dissemination Department
Statistics Estonia
Tel +372 625 9181
press [at] stat.ee (press[at]stat[dot]ee)