Domestic extraction of mineral raw materials Sacha Baud Directorate Spatial Statistics Luxembourg 3 May 2012 New estimation methodology

DE of mineral raw materials – new estimation methodology Content The problem Data sources Data availability, framework conditions and limiting factors The approaches Estimations Conclusion

DE of mineral raw materials – new estimation methodology The problem Discussions with representatives of the industry displayed an underestimation of the domestic extraction of mineral raw materials, esp. stones as well as sand and gravel.

DE of mineral raw materials – new estimation methodology Data sources Federal Ministry of Economy, Family and Youth – Production Statistics Statistical monitoring of mineral raw materials by Statistics Austria Collection of production figures from raw material mining companies Short Term Statistics (STS) in the Production Sector This production statistics only covers the primary production of minerals without consideration or inclusion of supporting services or processed products. Mineral resource extraction of „mining and quarrying“ (Section B of NACE rev. 2) including supporting services.

DE of mineral raw materials – new estimation methodology Data availability, framework conditions and limiting factors Federal Ministry of Economy, Family and Youth – Production Statistics Statistical monitoring of mineral raw materials by Statistics Austria By 2007 coverage of the "basic own mining companies“ by approx. 65 - 70% of the actual business premises. Fulfilling the STS regulations‘ criteria of representation of about 90% of turnover. Higher annual production figures do not necessarily reflect an increase in production; often due to higher coverage of companies. No full coverage of production. In general, companies with at least 20 employees or a turnover of 1 million Euro are included. Small enterprises not represented. No full coverage of production Estimations needed

DE of mineral raw materials – new estimation methodology The approaches Demand-side approach: Calculation/estimation of the amount of sand, gravel, clay and limestone based on the production and use of cement, concrete and bricks. Not possible because of missing data. Supply-side approach: Calculation/estimation based on data of Short Term Statistics. Source: Industriewissenschaftliches Institut, Vienna.

DE of mineral raw materials – new estimation methodology Estimation of data as of 1996 Step 1: Production of those companies that - due to their small size - are not recorded in STS : 1996 to 2007 Step 2: Production of those companies that - due to their small size - are not recorded in STS : as from 2008 a new model-based estimation of non reporting units to Short Term Statistics. Step 3: Production of those companies that, due to their classification, are not recognized within STS. This means the non-manufacturing industries (NACE rev. 1.1 A, B, G-P or NACE rev. 2 A, G-T), where agriculture, trade and transport are classified and where construction minerals are extracted too.

DE of mineral raw materials – new estimation methodology Estimation of data for 1996 up to 2007 Step 1: Production of those companies that - due to their small size - are not recorded in STS With STS data on marketed output in physical and monetary units it is possible to calculate factors of the value of one physical unit of production. These factors are used to calculate the physical production of ÖCPA 14.3 – 14.5 on the basis of SBS data (incl. estimation of small enterprises) – it is supposed that these product groups are only produced by characteristic producers. For ÖCPA 14.1 and 14.2 factors for characteristic and non-characteristic production are calculated; then weighted average factors are determined. It is supposed that small companies have to pay higher prices, therefore these price effects are also taken into account in the calculation of the factors.

DE of mineral raw materials – new estimation methodology Estimation of data as of 2008 Step 2: Model-based complement of non reporting units to STS The model is based on primary data of the STS survey and on further administrative data. Data compilation on micro level. For each small enterprise in the business register, belonging to the population of STS but excluded from the survey, administrative data is taken into account to calculate key figures, e.g. kind of economic activity, number of employees, monthly revenues. Then, further data, e.g. amount of work, labour costs, volume of production, are calculated on the basis of these key figures and primary data of STS, using appropriate estimation procedures. For labour-related dimensions a robust linear regression model is used. For dimensions related to turnover a combined approach is used to be able to describe as plausible as possible the distribution of activities and products.

DE of mineral raw materials – new estimation methodology Estimation of data as from 1996 Step 3: Production of those companies that, due to their classification, are not recognized within STS. Non-characteristic production of ÖCPA 14.2 is calculated by using the monetary supply table. Non-characteristic production occurs for: ÖCPA 14.21.11 Natural sands ÖCPA 14.21.12 Granules, chippings and powder; pebbles, gravel It is assumed that the relationship between the two product groups is equal to the ratio of the total production of construction raw materials in each year after the first two steps of the estimations. Based on average prices per year, extrapolated from total annual production rates, for both groups of goods the corresponding mass in tons was calculated. This was in 1996 at about 8.9 million tons and about 18.4 million tons in 2006.

DE of mineral raw materials – new estimation methodology Estimation of data as from 1996 Step 3: Production of those companies that, due to their classification, are not recognized within STS. (continued) As the Austrian supply and use tables was not available for 1997 it was necessary to fill in the data gaps occurring by the extrapolation for the years 1996 and 1998.

DE of mineral raw materials – new estimation methodology Conclusion The new estimation methodology causes a significant increase of the total production figures of construction raw materials.

Domestic extraction of mineral raw materials New estimation methodology Please address queries to: Sacha Baud Contact information: Guglgasse 13, 1110 Vienna phone: +43 (1) 71128-7304 fax: +43 (1) 71128-8155 Sacha.baud@statistik.gv.at