Publication CEPYME500 2017

#CONSTRUCTION SECTOR
The production of construction materials is recovering
after the recession
We are currently in the recovery phase from the lowest
point of the recession. National consumption has
dropped on average between 65% and 85% across
all sectors. Our active population has been almost cut
in half from the initial 600,000 workers. This is a disaster
for the industry of a country, as we are not talking
about seasonal or occasional jobs, but instead about
people that have working on average 20 years and
have important professional qualifications. In this line,
about 12,000 companies from the 46,000 that existed
before the recession have disappeared.
This shows that the industry has suffered a lot, without
having taken part in the speculative process of the
sector it provides its products to.
Companies have made an enormous effort in foreign
markets, going from 13.3 billion euros in 2009 to 21.7
billion euros at the end of 2016.
We have broken records across our 20 sectors with
increases above the national exports average, which
were also record-breaking. Moreover, this was done
with a 6.6 billion-euro net balance for Spain in its trade
balance.
In the face of this, the sector demonstrates a tremendous
effort in R&D&I, bringing continuous improvements
in quality and building performance year after
year. We must keep in mind that we are before a very
consolidated industry in Spain, with companies that
have been in business for decades and consequently
embrace the doctrine of the Confederation regarding
the compliance of environmental, quality and industrial
safety regulations.
All of the above can be checked perfectly with the level
of quality certification (awarded by third parties) that
our sectors have, as leaders on this subject in Spain
despite the recession.
Our demand is headed in two directions:
On the one hand, public administrations must develop
policies to encourage a necessary activity for the
country. Far from the madness of past years, the sector
can and must stabilise on reasonable numbers for
new housing; grow in rental housing, improve social
housing and the services sector; and boost the refurbishing
and restoration of buildings. All this will lead to
a constructive sector and to a sufficiently developed
and sized product industry. We believe we will reach
this point, but we must do so as soon as possible, as
10 years of recession have gone past already.
On the other hand, regardless of the degree of
recovery of the sector, it must be based on basic
compliance with regulations: goods and services must
be paid within the legal period, buildings must comply
with quality and legal characteristics, and environmental
requirements must be met by all agents of
the construction process. A great product, if used or
installed incorrectly or replaced by one of lower price
and quality, is not what the final user expects and it
damages the industry along the way. On this topic,
public administrations must work harder to ensure
that legal requirements are met. This is what provides
legal certainty and assurance for a sector to grow
and consolidate with quality employment and good
product performance.
090 | CEPYME500