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24 November 2003

2003 quest. - Summary of ISIC section 06 responses

The proposed two-digit level structure for section 06 "Construction": 6.1 Construction of buildings 6.2 Civil engineering 6.3 Specialized transversal trades

Summary of responses to Section 06: We had 21 replies to this question. On the section structure: 8 countries and 1 organization (Afristat) have given their comments on the proposed structure for this section: 6 countries and Afristat, support the intent or the structure given, but also, they and the others express their comments, reservations or suggestions as follows: -there are distortions between the headings of the 3 divisions and their contents in terms of transversal and specialized activities -at the lower level care should be taken not to define limits that are difficult to verify in practice -UK proposes to create a new top level heading within construction for building installation. They also propose to split the "Construction of buildings" into Construction of residential and non-residential ones. UK also proposes to create a class level category for "Erection and installation of complete industrial process plant", with this name. The best location, to be discussed. -Finland proposes to divide 6.3 into two parts: Building installation and Renting of construction equipment with operator. -France says that the content of Special trades must be lighted. They say that most of the activities within this item could be classified in building construction because they nearly fully concern buildings. -Afristat suggests that the contents of 6.3 must be more studied. Boundary questions: -installation activities by units which do not perform the manufacturing We have 6 replies on this. 4 countries agree to move those activities to construction, although UK observes that it is not clear where the borderline is between "heavy" and building services related machinery and equipment. 1 country and Afristat support the present treatment of classifying these activities to manufacturing (except of installation of lifts, escalators, air-conditioning and the like) -installation activities by units which perform the manufacturing We have 2 replies supporting the use of value added to determine the principle activity. -real estate development 2 countries point out that real estate activities (buying and selling real estate) should be separately identifiable from construction activities. They propose to treat outsourcing in this area, in the same way as outsourcing (converters) is treated in manufacturing. -test drilling, boring, core sampling We have 4 replies on this, supporting to have these activities under construction. Finland also suggests that these activities could also be placed under 13.4 "Technical testing and analysis". -turnkey projects We have 4 replies, 2 being against the inclusion of turnkey projects in construction, 1 supporting the suggested proposal in the structure paper, and Mexico suggesting to omit this term from descriptions of ISIC, since, they say it is very general. Mexico suggests to adopt a terminology that makes use of the type of work being performed. -drainage of agriculture and forestry land 1 country says that should be classified under 6.2, not 6.3. -UK says that "Land-based gathering activities" should be separately identifiable within section 1 "Agriculture... etc". They say one solution might be to expand 1.2 to "Forestry, logging, land-based gathering activities and related service activities" separately identifying the gathering activities at the level below.