Construction costs up nearly 20% on the year

Take note – story published 1 year ago

Data of the Central Statistical Bureau show that in November 2022, compared to November 2021, the level of construction costs in Latvia increased by 19.5 %. Prices of building materials rose by 24.6 %, maintenance and operational costs of machinery and equipment – by 18.1 %, but labour remuneration of workers – increased by 10.4 %.

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In November 2022, compared to October, the level of construction costs rose by 0.4 %. Prices of building materials rose by 0.6 %, maintenance and operational costs of machinery and equipment – by 0.3 %, while labour remuneration of workers – reduced by 0.1 %.

In November, the average level of construction costs was mostly affected by an increase in prices of dolomite breakstone, asphalt concrete, as well as of ready-mixed concrete.

The data on prices of construction resources are provided by approximately 200 construction enterprises and more than 50 trade enterprises. When calculating the Construction Cost Index, the prices of building materials submitted by enterprises for the calculation of producer price indices in industry and import price index are also used. Additionally, registered consumer prices of building materials are used in calculations.

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