Construction Material Price Indices: Statistical Release

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Private Bag X44, Pretoria, 0001, South Africa, ISIbalo House, Koch Street, Salvokop, Pretoria, 0002

www.statssa.gov.za, info@statssa.gov.za, Tel +27 12 310 8911

STATISTICAL RELEASE
P0151.1

Construction Material Price Indices

August 2020

Embargoed until:
28 September 2020
12:00

ENQUIRIES: FORTHCOMING ISSUE: EXPECTED RELEASE DATE:


Evashnie Govender September 2020 29 October 2020
(012) 336 0176
STATISTICS SOUTH AFRICA 2 P0151.1

CONTENTS

KEY FINDINGS: CONTRACT PRICE ADJUSTMENT PROVISIONS (CPAP) .................................................................. 3


KEY FINDINGS: CONSTRUCTION INPUT PRICE INDICES (CIPI) .................................................................................. 3
DETAILED RESULTS ........................................................................................................................................................ 4
Table 1 - Contract price adjustment provisions (CPAP) work group indices ....................................................................... 4
Table 2 - Construction input price index (CIPI): material purchases by type of service ...................................................... 6
Table 3 - Construction input price index (CIPI): material purchases for whole industry ...................................................... 7
Table 4 - Mining and construction plant and equipment price index ................................................................................... 8
Table 5 - Mechanical and electrical engineering input price indices ................................................................................... 8
Table 6 - Civil engineering material price indices1 .............................................................................................................. 8
EXPLANATORY NOTES ................................................................................................................................................... 9
GLOSSARY........................................................................................................................................................................ 9
GENERAL INFORMATION .............................................................................................................................................. 10

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STATISTICS SOUTH AFRICA 3 P0151.1

KEY FINDINGS: CONTRACT PRICE ADJUSTMENT PROVISIONS (CPAP)

In August 2020, month-on-month percentage changes in the CPAP work group indices ranged from -5,2% for work
group 141 to 4,0% for work group 160 (Table 1).

Noteworthy changes in August 2020 were as follows:

• Work group 160: The index increased by 4,0% month-on-month. There was an increase of 7,8% month-on-
month in the SEIFSA index for copper 7,9mm rod (accounting for 35,0% of this work group).

• Work group 162: The index increased by 3,9% month-on-month. There was an increase of 7,8% month-on-
month in the SEIFSA index for copper 7,9mm rod (accounting for 45,0% of this work group).

• Work group 172: The index increased by 3,8% month-on-month. There was an increase of 8,2% month-on-
month in the SEIFSA index for metal price copper per metric ton (accounting for 40,0% of this work group) and
an increase of 4,2% month-on-month in the PPI for electrical engineering (accounting for 10,0% of this work
group).

• Work group 141: The index decreased by 5,2% month-on-month. There was a decrease of 9,4% month-on-
month in the SEIFSA index for stainless steel flat products cold rolled 304b (accounting for 25,0% of this work
group) and a decrease of 10,3% month-on-month in the SEIFSA index for stainless steel flat products cold rolled
316b (accounting for 25,0% of this work group).

KEY FINDINGS: CONSTRUCTION INPUT PRICE INDICES (CIPI)

• Total construction: The index increased by 1,8% month-on-month (Table 2).

• Civil engineering material – total: The index increased by 1,5% month-on-month (Table 6).

Changes to workgroups 106, 112 and 114

Please note the following changes in basket for these three workgroups:

• For the period January to July 2020, PPI for reinforcing metal work was replaced with SEIFSA for reinforcing
steel. The replacement was necessary because of imputation issues with PPI for reinforcing metal work during
the COVID-19 lockdown, and for continuity with the pre-lockdown period. The revisions are indicated (r) in
Table 1.

• With effect from August 2020, PPI for reinforcing metal work replaces SEIFSA for reinforcing steel.

Risenga Maluleke
Statistician-General

Construction Materials Price Indices, August 2020


STATISTICS SOUTH AFRICA 4 P0151.1

DETAILED RESULTS
Table 1 - Contract price adjustment provisions (CPAP) work group indices

Base: Dec 2016=100


102 104 106 110 111 112 113 114
Alterations Earthworks Piling Concrete Formwork Precast Post Reinforcement
Year and month
(excluding concrete tensioning
formwork)
2019 Aug 113,1 110,1 114,9 121,6 113,2 118,8 146,3 127,9
Sep 113,4 110,3 115,2 122,5 113,4 119,2 146,4 128,0
Oct 113,4 110,3 115,2 122,3 113,4 119,1 146,4 128,0
Nov 113,5 110,4 115,0 121,5 113,5 118,8 146,4 128,0
Dec 113,8 110,5 115,0 121,3 113,6 118,9 146,5 128,1
2020 Jan 114,1 111,8 116,4r 123,0 113,7 119,4r 146,6 128,1r
Feb 115,2 112,6 116,6r 122,0 114,3 119,3 146,8 128,4r
Mar 115,6 113,2 117,0r 121,8 112,5 118,2r 146,9 128,5r
Apr 115,0 113,5 117,5r 122,0 112,3 118,3r 146,8 128,4r
May 114,3 114,0 118,5r 119,7 112,0 118,4r 146,6 135,3r
Jun 114,9 114,4 119,9r 119,7 112,3 120,0r 146,8 142,9r
Jul 116,4 115,1 121,0r 120,3 113,0 121,2r 147,2 147,2r
Aug 116,6 116,4 122,8 121,9 113,2 122,1 147,2 149,5

116 118 120 122 124 125 126 129


Brick and Masonry Water Non metal Metal roofing Metal roofing Carpentry and Ceilings
Year and month
block proofing roofing (steel) (aluminium) joinery
work
2019 Aug 106,5 109,4 122,2 116,3 110,2 110,8 111,5 103,5
Sep 108,3 108,6 119,0 116,3 111,3 110,8 112,0 104,3
Oct 108,2 108,8 122,5 117,1 111,3 110,8 112,0 103,7
Nov 108,2 108,7 115,3 114,1 111,3 110,8 112,0 104,4
Dec 110,0 108,2 107,0 114,2 111,3 110,8 112,2 107,6
2020 Jan 110,2 108,2 107,5 114,4 111,4 106,8 112,3 107,3
Feb 111,0 109,7 113,2 114,5 111,5 112,7 113,2 105,2
Mar 109,6 114,9 112,1 114,9 111,6 113,6 109,4 108,4
Apr 109,4 119,0 109,6 100,9 111,5 124,4 109,5 99,5
May 108,7 117,7 106,2 104,5 111,4 119,4 109,2 101,7
Jun 108,9 116,8 104,8 104,7 111,5 115,0 109,4 100,4
Jul 109,7 117,2 110,2 104,8 111,7 119,5 109,9 105,0
Aug 110,1 120,1 111,7 105,6 111,7 120,3 110,1 106,3

130 132 134 136 138 140 141 142


Resilient floor Ironmongery Structural Metalwork Partitioning Aluminium Stainless In situ
Year and month
and wall steelwork systems work steel finishes
coverings in buildings work
2019 Aug 113,6 113,4 114,2 114,8 112,1 113,6 115,8 118,5
Sep 113,6 113,4 114,5 115,0 112,8 114,9 117,4 119,1
Oct 113,6 113,4 114,5 115,0 112,8 114,9 121,7 119,0
Nov 113,7 113,5 114,5 115,0 112,9 114,9 124,0 118,7
Dec 113,7 113,5 114,6 115,1 113,0 115,0 121,3 118,9
2020 Jan 113,8 113,6 114,8 115,2 113,1 115,1 122,2 119,5
Feb 114,1 113,8 115,3 115,5 114,1 116,3 122,2 119,8
Mar 114,1 113,9 115,5 115,6 111,2 116,7 121,3 120,0
Apr 115,1 116,9 115,2 115,5 111,6 117,5 121,0 119,9
May 115,0 116,8 114,9 115,3 111,3 117,2 120,4 118,2
Jun 115,5 116,9 115,2 115,7 112,0 117,5 123,8 118,6
Jul 116,3 117,2 115,9 116,2 112,6 118,1 125,5 119,8
Aug 116,4 117,3 115,9 116,2 112,6 118,1 119,0 120,9

Construction Materials Price Indices, August 2020


STATISTICS SOUTH AFRICA 5 P0151.1

Table 1 - Contract price adjustment provisions (CPAP) work group indices (concluded)

Base: Dec 2016=100


144 146 148 149 150 152 154 160
Tiling Drainage Plumbing Aluminium Glazing Painting Roadwork Electrical
shop installations
Year and month
fronts and
pre-glazed
windows
2019 Aug 109,9 111,0 108,0 109,6 103,6 115,3 118,8 111,8
Sep 110,1 111,4 108,6 110,2 103,7 115,5 118,0 113,5
Oct 110,1 111,5 109,5 110,2 103,7 115,5 118,8 113,3
Nov 110,1 111,7 110,1 110,3 103,7 115,5 116,0 113,3
Dec 110,2 112,0 109,8 110,4 103,7 115,7 113,1 112,9
2020 Jan 111,3 112,5 110,3 110,5 103,7 115,9 113,5 112,9
Feb 111,7 113,2 110,7 111,2 103,8 116,6 115,1 113,0
Mar 111,9 113,6 110,7 111,5 103,9 116,9 114,5 112,4
Apr 111,7 112,0 108,6 111,7 103,8 116,5 115,5 115,0
May 111,4 112,9 109,2 111,4 103,7 116,1 112,1 117,7
Jun 111,6 113,5 110,3 113,9 109,5 116,4 112,1 117,3
Jul 112,3 115,1 111,6 114,4 109,6 117,4 114,5 119,6
Aug 112,3 116,3 111,2 114,5 109,6 117,6 115,7 124,4

162 170 171 172 173 180 181 190


Electrical Mechanical Ductwork Refrigeration Steel water Lump sum Commercial/industrial Lump sum
Year and month
reticulation services installations installations pipe domestic buildings preliminaries
installations buildings
2019 Aug 111,2 113,4 115,2 116,6 114,6 111,9 113,4 112,8
Sep 113,5 113,7 115,8 116,9 115,0 112,7 113,9 113,3
Oct 112,7 113,9 115,8 116,3 115,8 112,8 114,1 113,7
Nov 112,5 113,9 115,8 116,5 115,6 112,7 113,9 113,5
Dec 112,8 113,7 115,8 116,9 115,5 112,9 113,9 113,5
2020 Jan 112,1 113,8 115,8 117,3 115,7 113,3 114,2 114,5
Feb 113,5 113,9 115,8 117,1 114,5 113,8 114,6 115,1
Mar 112,8 114,1 115,8 116,2 114,3 113,1 114,3r 114,9
Apr 116,4 113,2 115,8 117,0 105,6 112,6r 113,7r 113,0
May 119,0 113,5 115,8 120,6 105,6 112,5r 113,8r 110,9
Jun 118,4 113,7 115,8 121,2 106,7 112,9r 114,4r 111,6
Jul 121,6 114,6 115,8 123,3 107,1 114,1r 115,9r 114,8
Aug 126,3 115,9 115,8 128,0 107,6 115,0 117,0 116,2

Construction Materials Price Indices, August 2020


STATISTICS SOUTH AFRICA 6 P0151.1

Table 2 - Construction input price index (CIPI): material purchases by type of service

Weight Index (Dec 2016=100) Percentage change


Aug 2019 Jul 2020 Aug 2020 Aug 2020 Aug 2020
Service
vs. vs.
Jul 2020 Aug 2019
Total construction 100,00 116,7 112,6 114,6 1,8 -1,8
Site preparation 0,97 115,3 125,8 126,7 0,7 9,9
Construction of buildings 23,96 110,4 106,7 109,3 2,4 -1,0
Civil engineering 36,88 124,3 116,4 118,2 1,5 -4,9
Other structures 1,54 116,1 112,4 114,4 1,8 -1,5
Construction by specialist trade
contractors 6,07 111,7 105,8 108,2 2,3 -3,1
Plumbing 1,72 107,4 116,6 117,9 1,1 9,8
Electrical contractors 8,06 113,4 117,3 119,8 2,1 5,6
Shopfitting 0,52 111,6 106,3 106,6 0,3 -4,5
Other building installation 7,63 111,1 111,1 112,3 1,1 1,1
Painting and decorating 1,06 117,4 117,1 117,2 0,1 -0,2
Other building completion 8,35 115,0 108,6 109,7 1,0 -4,6
Renting of construction or demolition
equipment with operators 3,24 117,5 122,8 124,0 1,0 5,5

Construction Materials Price Indices, August 2020


STATISTICS SOUTH AFRICA 7 P0151.1

Table 3 - Construction input price index (CIPI): material purchases for whole industry

Weight Index (Dec 2016=100) Percentage change


Aug 2019 Jul 2020 Aug 2020 Aug 2020 Aug 2020
Product
vs. vs.
Jul 2020 Aug 2019
Total construction 100,00 116,7 112,6 114,6 1,8 -1,8
Construction stone and sand 9,23 131,9 128,6 129,3 0,5 -2,0
Aggregate stone 7,93 129,6 125,4 125,3 -0,1 -3,3
Sand 0,82 153,1 148,4 153,6 3,5 0,3
Granite, sandstone and other
monumental and building stone 0,48 134,0 147,6 153,5 4,0 14,6
Carpets (excluding mats and
rugs) 1,00 115,1 119,4 119,4 0,0 3,7
Boards of wood 1,69 115,7 103,0 103,0 0,0 -11,0
Builders' carpentry of wood 1,59 101,4 109,1 109,1 0,0 7,6
Paints 2,92 119,3 119,3 119,3 0,0 0,0
Prepared explosives 0,34 119,4 129,5 129,5 0,0 8,5
Construction tyres 0,63 113,1 121,7 121,7 0,0 7,6
Construction pipes, tubes and 3,24 108,8 114,1 117,0 2,5 7,5
fittings Tubes, pipes, tube-fittings and
pipe-fittings of copper 1,23 102,1 120,9 128,6 6,4 26,0
Concrete pipes 0,38 154,8 138,2 138,2 0,0 -10,7
Construction plastic pipes, tubes
and fittings 1,63 103,3 103,3 103,3 0,0 0,0
Adhesive and sealant 0,31 124,9 128,0 128,0 0,0 2,5
Vinyl sheeting and flooring 0,04 117,1 119,2 119,2 0,0 1,8
Non-structural ceramic ware 0,34 94,9 90,4 90,4 0,0 -4,7
Construction bricks and tiles 11,93 106,6 99,3 99,4 0,1 -6,8
Bricks 10,77 106,3 99,1 99,1 0,0 -6,8
Tiles 1,16 110,0 101,2 102,3 1,1 -7,0
Cement 11,67 122,6 121,3 123,4 1,7 0,7
Ready-mix concrete 5,68 89,2 82,8 92,6 11,8 3,8
Ceiling boards 1,38 90,3 90,1 92,2 2,3 2,1
Prefabricated cement and
concrete components 0,98 123,5 111,8 111,8 0,0 -9,5
Pre-mix asphalt 0,08 113,2 112,3 113,5 1,1 0,3
Bituminous mixtures 8,28 133,3 112,1 114,5 2,1 -14,1
Construction structural and 18,41 122,2 113,9 115,9 1,8 -5,2
reinforcing steel Bars and rods of iron or steel 9,16 124,7 125,8 125,8 0,0 0,9
Reinforcing metal work 2,38 121,0 96,4 98,5 2,2 -18,6
Angles, shapes, sections and
similar products of iron or steel 1,21 132,3 117,2 117,2 0,0 -11,4
Equipment for scaffolding,
shuttering and propping 1,95 116,1 94,2 104,1 10,5 -10,3
Welded angles, shapes and
sections for use in manufactured
structures 2,97 117,0 108,0 111,0 2,8 -5,1
Steel door and window frames 0,74 115,8 92,1 97,8 6,2 -15,5
Wire of iron or steel 0,18 122,5 133,5 136,6 2,3 11,5
Construction taps, cocks and
valves 1,33 106,1 122,6 122,6 0,0 15,6
Construction pumps,
compressors and refridgerator
machinery 4,94 107,0 107,4 108,0 0,6 0,9
Construction electric motors,
generators or transformers 0,90 113,3 121,8 123,1 1,1 8,6
Electrical components 1,97 118,9 123,6 127,9 3,5 7,6
Electrical cable 3,55 111,6 118,7 123,3 3,9 10,5
Construction, distribution and
control equipment 5,44 112,5 111,4 111,4 0,0 -1,0
Construction vehicle parts 1,95 115,6 130,3 132,1 1,4 14,3

Construction Materials Price Indices, August 2020


STATISTICS SOUTH AFRICA 8 P0151.1

Table 4 - Mining and construction plant and equipment price index

Weight Index (Dec 2016=100) Percentage change


Aug 2019 Jul 2020 Aug 2020 Aug 2020 Aug 2020
Product
vs. vs.
Jul 2020 Aug 2019
Plant and equipment 100,00 106,1 112,8 115,2 2,1 8,6
Lifting and handling equipment
and parts thereof 7,57 107,5 123,0 123,0 0,0 14,4
Machinery for mining, quarrying 36,90 103,0 111,0 117,6 5,9 14,2
and construction and parts Moving, grading, levelling,
thereof scraping, excavating, tamping,
compacting and extracting
machinery 28,38 101,1 110,6 119,3 7,9 18,0
Machinery for sorting, screening,
separating, washing, crushing,
grinding, mixing and kneading of
construction material 8,52 109,4 112,3 111,9 -0,4 2,3
Lorries, trucks and vans
exceeding 3,5 tons 55,53 108,0 112,6 112,6 0,0 4,3

Table 5 - Mechanical and electrical engineering input price indices

Weight Index (Dec 2016=100) Percentage change


Aug 2019 Jul 2020 Aug 2020 Aug 2020 Aug 2020
Service
vs. vs.
Jul 2020 Aug 2019
Mechanical engineering 100,00 112,3 114,6 115,8 1,0 3,1
Electrical engineering 100,00 112,3 117,0 121,9 4,2 8,5

Table 6 - Civil engineering material price indices1

Index (Dec 2016=100) Percentage change


Aug 2019 Jul 2020 Aug 2020 Aug 2020 Aug 2020
Product
vs. vs.
Jul 2020 Aug 2019
Civil engineering material - total 124,3 116,4 118,2 1,5 -4,9
Civil engineering material (excluding bitumen) 122,0 117,8 119,3 1,3 -2,2
Civil engineering material (excluding reinforcing metal work) 125,0 117,3 119,0 1,4 -4,8
Civil engineering material (excluding reinforcing metal work and bitumen) 121,5 116,0 117,9 1,6 -3,0
Civil engineering material - structures (excluding bitumen) 125,4 121,0 122,7 1,4 -2,2
Civil engineering material - roads, general 130,0 121,3 122,9 1,3 -5,5
Civil engineering material - roads, general (excluding bitumen) 128,9 123,4 124,8 1,1 -3,2
Civil engineering material - roads, refurbishment 130,7 120,6 122,2 1,3 -6,5
Civil engineering material - roads, refurbishment (excluding bitumen) 129,6 124,6 125,9 1,0 -2,9
Civil engineering material - roads, reseal 131,2 115,6 117,8 1,9 -10,2
Civil engineering material - roads, reseal (excluding bitumen) 127,0 121,9 123,9 1,6 -2,4
Civil engineering material - bulk earthworks 124,9 119,3 121,0 1,4 -3,1
Civil engineering material - bulk earthworks (excluding bitumen) 124,7 120,2 121,8 1,3 -2,3

1 The information in this table is published in conjunction with engineering associations SAFCEC and SAICE.

Construction Materials Price Indices, August 2020


STATISTICS SOUTH AFRICA 9 P0151.1

EXPLANATORY NOTES

Contract Price Adjustment The CPAP work group indices are used for making adjustments based on cost
Provisions (CPAP) fluctuations in labour, plant and materials.

Sources for CPAP The CPAP work group indices are derived from changes in the cost structures prevailing
in 37 different sectors of the building industry and are published by Stats SA on a monthly
basis. The indices reported on in this publication are mainly based on a combination of
PPI, SEIFSA and CPI indices for the particular month.

Contract Price Adjustment The Committee is the oversight structure for the Construction Price Adjustment
Provisions Steering Provisions published by Statistics South Africa as release number P0151.1 and
Committee comprises of representatives of the following industry associations and organisations:
The Association of South African Quantity Surveyors, Electrical Contractors’ Association
(SA), Master Builders South Africa, the South African Institute of Architects, and the
National Department of Public Works and Statistics South Africa.
Tax Value added tax (VAT) are not included in these indices.

CPAP manuals The updated CPAP manuals "CPAP Application Manual” and “CPAP Work Groups
Composition and Weighting of Sub-Indices" are obtainable from The Association of the
South African Quantity Surveyors – ASAQS, website: www.asaqs.co.za - search for
CPAP, or by phoning (012) 310 8077.

Construction Input Price The index reflects material purchases in the construction industry
Indices (CIPI)

GLOSSARY

SAFCEC South African Forum of Civil Engineering Contractors

SAICE South African Institution of Civil Engineering

SEIFSA Steel and Engineering Industries Federation of Southern Africa

PPI Producer Price Index


CPI Consumer Price Index
CPAP Contract Price Adjustment Provisions
CIPI Construction Input Price Indices
r Revised

Construction Materials Price Indices, August 2020


STATISTICS SOUTH AFRICA 10 P0151.1

GENERAL INFORMATION

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also by international economic and social-scientific communities, Stats SA releases are published in English only.

Stats SA has copyright on this publication. Users may apply the information as they wish, provided that they acknowledge
Stats SA as the source of the basic data wherever they process, apply, utilise, publish or distribute the data; and also that
they specify that the relevant application and analysis (where applicable) result from their own processing of the data.

Advance release calendar


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Forthcoming issues

Issue Expected release date


September2020 29 October 2020
October 2020 26 November 2020
November 2020 10 December 2020

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Enquiries in connection with contract price adjustment provisions should be
directed, in writing, to Mr Hoffie Cruywagen (Hoffie.Cruywagen@up.ac.za).
Postal address Private Bag X44, Pretoria, 0001

Produced by Stats SA

Construction Materials Price Indices, August 2020

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