Situations such as the pandemic, rising prices and shortages of raw materials, a lack of skilled labor or greater financial difficulties have left their mark on Turkey. construction industryHe Despite economic uncertainty, it continues with its growth forecasts. These challenges may also be an opportunity to accelerate certain changes that are on the horizon before the war in Ukraine and even the spread of COVID.
Since the pandemic began, the construction industry has been chaining unforeseen hurdles in 2019. The health crisis and its social and economic repercussions were followed by the lack of raw materials, the war, and the rise in construction prices. materials and generalized inflation, among other factors.
After sanitary restrictions, sector recovers pre-pandemic growth in 2021According to data from the DoubleTrade consultancy, with 51,400 new jobs executed and 58,001 million euros invested, 78% more than in 2020.
But in 2021 as a result of the health crisis, construction companies began to suffer from shortages of raw materials, rising prices, and rising energy and international shipping costs. According to construction company ACR, direct construction costs increased 23.5% last year. For 2022, Neinor Homes predicts an average of 8% to 10% increase in costs, which have risen again this year at the instigation of Russia.
Another pre-pandemic challenge facing contractors and construction companies is the growing financial challenges that are pushing companies to explore new avenues such as mass lending. More concentration is expected in the sector for this year.to gain greater access to credit.
In addition, the industry has insufficiency qualified workforce The rise in salaries of those who fit this profile – and the rise in salaries of those who fit this profile – which has become more evident since last year, partly due to the increased demand for professionals for the reform sector as a result of the health crisis, and as a result of the aid programmes.
In this context, contractors and construction companies have had to adapt to the changing needs of consumers who are in search of new ones. household more sustainable and efficient, bigger, more outdoor space and higher quality. On the other hand, in these remote working timesThe future of offices includes increased flexibilityAt the same time, the rise of the logistics industry is appreciated with the increasing demand for distribution platforms.
Downward growth forecasts
Despite the increasing difficulties, the first period of 2022 shows an increase of 5.44% in construction activities compared to the same period last year, according to the data of the Supreme Council of Spanish Architect’s Colleges. However, the numbers fell in the second quarter of the year, which was down 3% from the first quarter. Similarly, the Nalanda business information platform realized a total of 9,388 projects, with an increase in the number of jobs in the first half of the year, 5.6% more than in the same period of 2021.
However, expectations for the second half of the year seem to have been affected by these developments. current economic conditions of inflation and rising interest rates. In its latest report for June, the Euroconstruct analysis group lowered its growth forecasts by 1.4% compared to its previous study from the end of 2021, where they forecast a 2.3% annual growth in activity in the sector.
Although construction costs have already begun to ease, a slowdown or even a halt in work will reduce the finished bid for 2023. It will make things easier for those who want to own it. “Taking into account the current inflationary trend, the recession is a real threat to the Spanish economy. Given this scenario, real estate transactions should match a slower sales rate because purchasing decisions will be smaller in the face of riskier borrowing capacity by the consumer,” explains Ferran Font, manager of Estudios de pisos.com.
Industrialization, digitalization and big data
In this context, the future of construction lies in adapting the industry to two increasingly important trends: digitalization and big data. Accelerating digitization during the pandemic will enable the automation of processes, the interconnection of different areas of a company, and greater accessibility to information.
Big data, on the other hand, has proven to be the solution to industry problems, from customer service to calculating investment risk and getting information from the Internet of Things.