(Text extracted from: INE, the Portuguese Classification of Economic Activities
(CAE-Rev.2.1), Lisbon, INE, 2003.
INTRODUCTORY NOTE The Portuguese Classification of Economic Activities, Revision 2.1, abbreviated to CAE-Rev.2.1, established by the National Statistics Institute (INE) with the collaboration of several entities, involving the government, the Social Partners , and occasionally, Business, corresponds to a revised and improved CAE.Rev.2 an d intended to replace this classification. The CAE-Rev.2.1, whose structure was published in the Gazette under the cover of Decree-Law No. 197 of August 27, 2003, establishes the new framework of economi c activities in Portugal, aligned with the Statistical Classification of Economi c Activities in the Community European Community (NACE, Rev.1.1), under Regulati on (EC) No 29/2002 of the Commission of December 19, 2001. Structural changes in relation to the CAE-Rev.2 are minor and result mainly from the adaptation of NACE-Rev.1.1 the National Statistical System (SEN). The tables of equivalence between the CAE and CAE-Rev.2-Rev.2.1, included in thi s issue, try to give an idea of the main changes between the two classifications . The explanatory notes have some developments to allow greater autonomy and coord ination in the implementation of CAE-Rev.2.1 regarding CAE-Rev.2. Small changes to the CAE-Rev.2 explained by the level of the United Nations and the European Union arise now works for a thorough review by 2007 of ISIC, Rev.3. 1 and NACE-Rev.1.1 and is expected CAE to provide a new harmonized with those ra tings up to that year. This publication, for easy reference, is divided into six parts: General descrip tion, structure, Notes, Tables of Equivalence; Major Changes compared to CAE-Rev .2 and Legal Texts. The INE also has this information in electronic form which can be supplied under conditions agreed, to whom the request. NSO takes this space to thank everyone who participated in the work of this impo rtant nomenclature, thanking yourself in advance, all contributions that contrib ute to their future improvement. MAIN ACRONYMS USED CAE CAE CAE-Rev.1 Rev.2-CAE-Rev.2.1 EC EEC ISIC ISIC-Rev.3 IS IC Rev.3.1 CNBS CNE CSE-INE Eurostat NACE NACE-Rev.1 NACE Rev.1.1 UN-ESA SEN GVA Portuguese Classification of Economic Activities by industry Portuguese Classif ication of Economic Activities by industry - Review a Portuguese Classification of Economic Activities - Revision 2 Portuguese Classification of Economic Activi ties - Revision 2.1 Economic Community European Economic Community Classificatio n International Standard Industry of all branches of economic activity (in Frenc h and English ISIC ISIC) International Standard Classification by Industry of al l branches of economic activity - Revision 3 Classification International Standa rd Industry of all branches of economic activity - Review 3.1 Classification of Goods and Services National Council for National Statistics Board Statistics Bur eau of Statistics of the European Institute for Statistics Nomenclature of Econo mic Activities of the European Communities General Industrial Classification of Economic Activities of the European Communities - Revision 1 Nomenclature of Eco nomic Activities European Communities - Revision 1.1 United Nations European Sys tem of Integrated Economic Accounts National Statistical System Gross Value Adde d 7 OVERVIEW 1. HISTORICAL NOTE The first version of the Portuguese Classification of Activities (NACE) publishe d dates back to 1953 and resulted from a translation, the responsibility of the NSA, the International Standard Classification of All Economic Activity Sectors, abbreviated to CITA, published in 1949 by Services Statistics of the United Nat ions, under the quota ST/STAT/SER.M/4. The CITA has undergone a first revision t o better adapt to global economic reality, with the UN published in 1958 under t he quota ST/STAT/SER.M/4/Rev.1, a corrected and updated version (ISIC-Rev .1). E dit the CITA-Rev.1 led the NSA to undertake again, its translation into Portugue se, and it was later submitted for consideration of various public and private e ntities. The contributions received to the initial changes resulted from the INE , which published it in 1961, after prior approval from the Statistics of the Un ited Nations. Experience with the implementation of the statistical work showed that the translation of the ISIC-Rev.1 was insufficient to meet national needs, and published in 1964 the first PPA with the reality of the Portuguese economy, drawn from the ISIC-Rev.1, after approval of various public and private entities . In 1969, the Statistical Office of the United Nations published under the quot a ST/STAT/SER.M./4/Rev.2, the second revision of ISIC (ISIC-Rev.2) and the NSA, always alert to Portuguese needs in this area, also decided to make its translat ion and publication in 1970, after approval of the Bureau of Statistics UN. As t he Portuguese translation of the ISIC-Rev.2 did not meet the national needs, the National Statistics Council (NSC) commissioned a committee to devise a new CAE from the ISIC-Rev.2, and the NSA after approval by the CNE , published in 1973, CAE-Rev.1. In October 1978, given the need to adjust the system of national stat istical information to the statistical requirements derived from the future acce ssion of Portugal to the EEC, the CNE by the 11th resolution, established a Work ing Group with the mandate to review the PPAs -Rev.1/73 the light of the Nomencl ature of Economic Activities in the Community (NACE) in 1970 to create a Nationa l Classification of Goods and Services (CNBS). This Working Group, later transfo rmed by the CNE in the Specialist Subcommittee CAE / CNBS, concluded in 1985, th e work of a new CAE harmonized with NACE and CNBS. These projects were not appro ved or adopted by the activities of the CNE were lifted in early 1986. Following Regulation (EEC) No 3037/90 of 9 October, on the Statistical Classification of Economic Activities in Communities (NACE-Rev.1), the NSA, in collaboration with about hundred and fifty bodies, produced CAE-Rev.2, integrated in the NACE-Rev.1 and harmonized as much as possible, with the CAE-Rev.1/73 and the project CAE/8 5 that was never approved by the CNE. The CAE-Rev.2 was approved in December 1991 by Resolution of the 32nd Statistica l Council (CSE) and by the EEC Commission (EUROSTAT), pursuant to paragraph 3 of art. 3 of Regulation ( EEC) No 3037/90, and was published in the Official Gazet te, under the guise of Decree-Law No. 182/93 of May 14. The CAE-Rev.2.1 was appr oved in November 2002 by Resolution 241 th CSE and subsequently published in the Official Gazette under the cover of Decree-Law No. 197/2003 of August 27, const ituting a very important aspect of the standardization process statistics. 2. OBJECTIVES The present classification of economic activities intended to respond to the following main objectives: Classification and grouping of statistical units producing goods and services (or nonprofit), according to economic activit y; Organization, in a coordinated and coherent, the economic and social statis tical information by branch of economic activity in several areas (production, e mployment, energy, investment, etc.). Comparability statistics at national, co mmunity and world. The structure, concepts and explanations of CAE-Rev.2.1 are e ssentially the result on the one hand, harmonization imposed by Regulation NACE- Rev.1.1 and, secondly, the reconciliation of interests and to meet national need s given the current conditions of economic organization and prediction of its ev olution in the medium term. The objectives of the CAE-Rev.2.1 are essentially st atistical, although it can be used for non-statisticians. In this sense, the bas ic principles of its construction, the type of statistical units to which it app lies, the rules for classification and determination of the main business, among other things, are subject to statistical purposes. 3. CORRESPONDENCE BETWEEN THE CAE-Rev.2.1 EA CAE-Rev.2 Differences between CAE-Rev. 2.1 and CAE-Rev.2 are punctual and derive primarily from the need for harmonizat ion of CAE-Rev.2 to NACE-Rev .1.1, according to the Regulation (EC) No 29/2002 o f December 19, 2001. Comparing the number of activities by level, according to t he table below is presented, it appears that there are some differences in the n umber of activities involved in some levels. 31 Level An alphabetic letter 17 Two letters 31 (1) Two digits 62 Three numeric digits 224 digits 515 Fourth Five-digit 719 CAE CAE-Rev.2.1 CAE-Rev.2 17 31 (1) 60 222 503 715 (1) Only 16 have double letter code real. The other result, by definition of Sec tion (eg Section Subsection A = AA). Although it is not possible from this framework to establish any connection to m atch the levels at which there are differences in activity may, however,conclud ed the following: The contain the same number of levels (6) and no change in l evels Section (one letter) and Subsection (two letters); The differences in le vels two and three digits derived from the ISIC-Rev. 3.1 and NACE-Rev.1.1; The four-digit level differences arise mainly from NACERev.1.1 and five-digit level of adjustments to national needs. The differences in scope between the two clas sifications can be better understood from the "Tables of Equivalence ⇔ CAE CAE-R ev.2-Rev.2.1" published in a separate chapter of this publication. 4. CORRESPONDENCE BETWEEN THE CAE-Rev.2.1, NACE, ISIC Rev.1.1 EA-REV.3.1 The detail of the economic classifications varies from country to country and result mainl y from differences in development and economic organization. While the internati onal classifications intended to reconcile the different needs from a framework of common minimum economic categories, to ensure comparability of the countries at international, national classifications look beyond the international compara bility, a good adaptation to the economic reality of the country. The CAE-Rev.2. 1, to ensure effectively the statistical comparability at the international leve l, has adopted an integrated design in relation to NACERev.1.1-Rev.3.1 and ISIC, either on the coding structure, either as concepts and methodologies underlying each of these classifications. The choice of system structure of CAE-Rev.2.1 li es, firstly, the need to facilitate communication and statistical development at the community and, moreover, tend to consider fundamental to the standardizatio n of nomenclature and the Community world. The greater or lesser degree of integ ration between the CAE-Rev.2.1, Rev.1.1 and NACE-CITARev.3.1 is easily evidenced in the table is presented below: 32 Level Alphabetical A Letter Two letters 17 31 (1) 31 (1) A two-digit 62-digit Three-digit numeric digits Room 224 515 514 (2) Five-digit 719 Nomenclature CAE-Rev.2.1 NACE-Rev.1.1 17 - 62 224 - ISIC, Rev.3.1 (1) 17 - - 62 161 297 - (2) Only 16 have double letter code real. The other result, by definition of Section (eg Section Subsection A = AA). NACE-Rev.1.1 least one class has to have added with the hotels and restaurants without (5510) This framework establishes a relationship between the three classifications of a ctivities that can be summarized in the following: The CAE-Rev.2.1 is designed from the last level of NACE-Rev.1.1 (four digits), adopting all the other level s , ie the correlation between CAE-Rev.2.1 and NACE-Rev.1.1 is direct; The cor respondence between CAE-Rev.2.1 and ISIC Rev.3.1 is direct-level common letter ( a letter) and first level numeric (two digits), and the move to the level group (three digits) and class (four digits) made by equivalence table; The passage levels CAE-Rev.2.1 and NACE-Rev.1.1 not directly equivalent ISIC Rev.3.1-to does not involve breach of comparability, since the extra detail corresponds to part s perfectly integrated into three four-digit levels of ISIC, Rev.3.1; CAE-Rev. 2.1 has six levels (more than one NACE-Rev.1.1 and two more than the ISIC, Rev.3 .1), and therefore a more detailed classification; The ISIC, Rev.3.1 lacks the two-letter alphabetic level and a classification is more aggregated than CAE-Re v.2.1 and NACE-Rev.1.1; 5. SYSTEM CODING The coding system adopted in the CAE-Rev.2.1 can be divided into t wo parts: an alphabetical with two levels (Section and Subsection) and a number with four levels (Division, Group, Class and subclass). At the alphabetical sect ions are coded with a letter from A to Q and Subsections with two letters (first from left to right and the second section defines a sequential alphabetical ord er). Of the 17 sections included in the CAE-Rev.2.1 only sections C and D are di vided into Subsections real, ie, have a double letter code. The other result, by definition of Section (eg Section Subsection A = AA). The connection between se ction and subsection is simple and straightforward (eg Section Subsection C = CA + CB Subsection, and parts of CA and CB C). 33 The numerical coding starts at the Division level (highest category) with two di gits, down to the Group (three digit level), it follows the standard class (four digits) and ends in class (5-digit level). The relationship between level / num ber of digits easily seen from the diagram that follows is presented to Division 01 111 (of cereals). 01 Division 1 Group 1 1 Class Subclass The Division level starts with the code 2001 and ends on the 99 code. Codificati on Division is out of sequential order or occupy all positions of two digits, a situation that allows the creation of any new divisions. The encoding of the Gro up is made from the code of the Division using the decimal system sequentially ( 1-9). Where the first digit on the right is zero, meaning that the Division was not subdivided into Group, keeping in this situation the Division and the Group the same name and scope. The class is coded from the Group class and subclass, u sing the coding system the same criteria for the codification of the Group. The Section, Subsection, Division, Group and Class (except for NACE class 5510 have added to the hotels and restaurants without) of CAE-Rev.2.1 adopted the same cod ing of NACE-Rev.1.1, except the inclusion of a point between the two digits of t he Division and the three Group. This detailed chart lets you know immediately i f you are working in NACE-Rev.1.1 or CAE-Rev.2.1. The levels and differences in coding between the CAE-Rev.2.1, NACE-Rev.1.1 and ISIC Rev.3.1-can be summarized in the table below: Letters or digits level subsection CAERev.2.1 Section Division Group Class Subcl ass 1 letter 2 letter 2-digit 3 digit 4 digit 5 digit NACERev.1.1 a letter 2-let ter 2-digit 3 digit 4 digit CITARev.3.1 a letter 2-digit 3 digit 4 digit CAERev .2.1 EA 01 011 0111 0111 1 01 01.01 NACERev.1.1 AA CITARev.3.1 01:11 A 01 011 01 11 Coding (eg) This framework can be drawn the following main conclusions: CAE-Rev.2.1, NACE- Rev.1.1 and ISIC Rev.3.1-use the same names for the common levels, 34 The coding system adopted in the CAE-Rev.2.1 is equivalent to NACERev.1.1 for common levels, not translating the point included in NACERev.1.1 any difference in scope; The coding system of CAE-Rev.2.1, NACE-Rev.1.1 and ISIC Rev.3.1-are similar, even for the Group and Class levels at which there is not always a dire ct correlation in scope. 6. DELIMITATION OF FIELDS The delimitation of each activity obeyed several criteria . The main criteria adopted in the structuring of activities were the technologi cal process, the nature of the raw material, the product and service. Despite th e CAE-Rev.2.1 allow classification of all activities (market and non market or n on-profit) there are limits imposed by the objectives to be achieved and the com plexity of reality. For better clarification of the scope of this nomenclature, are important aspects which are listed below: There is, generally, the link be tween CAE-Rev.2.1 and nomenclature of professions, although some occupations (cr aft) matches, sometimes the definition of certain activities, particularly in th e professions; The complex combination of services, resulting from various act ivities (eg tourism, which involves transportation, accommodation, catering, rec reational and cultural services, etc..) lacks a defined position in the CAE-Rev. 2.1. In collecting data on economic activity is of interest to evaluate the homo geneity of the activities carried out by statistical units classified in a given position of CAE-Rev.2.1. Despite the care put into the construction of the CAE- Rev.2.1 or any other nomenclature of the same scope, uniformity is only achieved in practice tended since the major statistical units to which it applies have a corresponding diversity of activities, often more than one level of classificat ion. In fact, while each level of classification generally includes statistical units that provide most of the type of goods and services and other units, class ified in a different level by imperative of definitive criteria, can produce the same goods and services. The delimitation of areas was an objective of this cla ssification, but the difficulties inherent in the complexity of the economy, uni formity must be achieved in many cases by indirect results. The two most importa nt rates to calculate the homogeneity of the various categories of expertise are the rate and coverage rate. The level of expertise of a business activity is de fined as the production of goods and services of this activity for the whole of its production. The coverage rate corresponds to the production of goods and ser vices of an activity in relation to total production of those goods and services for the entire economy. 35 7. PRINCIPAL ACTIVITIES,SECONDARY AND ANCILLARY Economic activity is the result of a combination of production factors (the labor force, raw materials, equipment, etc..) In order to produce goods and services. Regardless of the factors of pro duction integrating the good or service produced, all activities requires, in ge neral terms, an input of products (goods or services), a process of incorporatio n of value added and output (goods and services). The goods and services resulti ng from a particular economic activity can be dedicated to the sale, exchange or a social benefit, therefore, with or without profit for the unit that produced them. The units producing goods or performing services, often more than one acti vity, which determines, in many situations, the need to resort to the discretion of the principal activity to classify the statistical unit. The main activity c orresponds to the activity which represents the greatest importance in all activ ities carried out by a unit of statistical observation. The determination of the main activity therefore presupposes an inventory of several elementary activiti es of a unit and the establishment of an economic indicator weighting of activit ies. The level of NACE-Rev.1.1 is determined that the best variable for the weig hting of the main activity is the value added at factor cost. The practical diff iculties of using the value added weight as the principal activity determined at Community Committee (NACE), the setting of other variables (personnel, turnover , etc.). Alternatives, without being clearly defined situations in which and how they apply. The Community framework for defining the core business presents its elf, by its complexity, flexible, and in the adoption of CAE-Rev.2.1, to ensure continuity of the previous procedures, use variables were normal (turnover / sal es and personal service), without losing sight of the progress of this matter at EU level. The secondary activity corresponds to an activity producing goods or services to third parties different from the main unit. The main and secondary a ctivities are generally conducted with the support of various ancillary activiti es (eg accounting, administrative services, repair, etc.).. Ancillary activities providing non-durable goods or services as support to the production of a unit. An activity should be considered as an aid satisfies the following conditions: a) produces services or, occasionally, non-durable goods, b) exists on the type and importance in similar production units; 36 c) serves only to producing unit, d) contributes to the running costs of the uni t, ie does not generate capital formation. Certain activities carried out by a c ompany for their own use are not ancillary activities (eg building on their own, they do not satisfy some of the conditions mentioned above, namely, d); energy production and research do not satisfy the conditions b) and d) ). Ancillary act ivities should not be used in principle for determining the primary activity. 8. Statistical units by the statistical unit is defined as an element of a group yo u wish to observe or analyze. The statistical units are therefore a key element in the organization of investigations, since it is at this level takes shape sor ting, grouping and ordering of units capable of applying the method of observati on. The statistical unit is used mainly as an observation unit and / or analysis . The statistical unit is defined as the unit where the facts are observed and r ecorded and the unit of analysis coincides with the observation unit or reconsti tuted from the statistical data of this unit is defined as the appropriate unit to analyze a fact. All the statistical unit, its repercussions in terms of obser vation and analysis of results, must be well defined and easily identifiable to ensure a better quality of information. The statistical units of the production system more user of that list are those which are listed below. To ensure compar ability at EU level, the definitions correspond to those adopted by Regulation ( EEC) No 696/93 of 15 March, on the statistical units of observation and analysis system in the European Community. Further details on these units could be found in these Regulations. COMPANY: This corresponds to the smallest combination of legal unitswhich is an organizational unit producing goods and services, enjoyi ng a certain autonomy of decision, particularly as regards the allocation of its current resources. An enterprise carries out one or more activities in one or m ore locations. An enterprise may be a single legal unit. INSTITUTIONAL UNIT: It is an elementary economic decision-making center, characterized by uniformity of behavior and decision-making autonomy in the exercise of its primary function. An institutional unit is said to enjoy autonomy from that decision (meaning that it is responsible for its actions and decisions) in the exercise of its princip al function and provides full accounts (meaning it has both of the records where it appears all of their 37 operations, economic and financial progress during the period of accounts and a balance sheet of assets and liabilities). Institutional units are considered in terms of the SEC: 8 Unit with full accounts and autonomy of decision a) b) c) d) e) capital corporation, cooperative societies and independent legal entities, p ublic enterprises endowed with a status that gives them legal personality, non-p rofit organizations, having legal personality; public administrative bodies; 8 units with full accounting and, by convention, have autonomy of decision f) qu asi-corporations sole proprietors, partnerships, public companies other than tho se mentioned in subparagraphs a), b) and c), since their economic behavior Finan cial and is separated from their owners and resembles the corporate capital; 8 U nits that do not necessarily have accounts and that, by convention, have autonom y of decision g) families; ENTERPRISE GROUP brings together companies involved in legal and financial ties. The group of companies can hold a plurality of decision-making, particularly as regards the politics of production, sales, benefits, etc..; Can unify certain a spects of financial management and taxation and make choices about the units joi n the group. UNIT OF ECONOMIC ACTIVITY (UAE): It brings together within a firm s et of parts that contribute to the performance of an activity level subclass of CAE-Rev.2.1. It is a unit that corresponds to one or more subdivisions of the en terprise, regardless of where economic activity is exercised. Unit of homogeneou s production (UHP) is characterized by a single activity, ie, for inputs, produc tion process and outputs of the same products. The products which constitute the inputs and outputs are themselves characterized both by their nature, their pre paration and production technique used by reference to a product classification. The unit of homogeneous production may correspond to an institutional unit or a part thereof, can never belong to two different institutional units. 38 LOCAL UNIT (ESTABLISHMENT): This corresponds to an enterprise or part (factory, workshop, mine, warehouse, shop, warehouse, etc..) Situated in a geographically identified place. That site or from economic activity is carried out for which a general rule, one or more persons work (even if part time), on behalf of the sa me company. UNIT OF LOCAL ECONOMIC ACTIVITY LEVEL (UAE LOCAL): It is part of a u nit of economic activity dependent on the local level. Unit of homogeneous produ ction THE LOCAL LEVEL (UHP LOCAL): It is part of a business unit of homogeneous production dependent on the local level. The following table shows the relations hip between activity and location of the units above figures. LOCATION ONE OR MORE LOCAL BUSINESS ONE PLACE One or more activity A single activity . Company. Institutional unit. UAE. UHP . Local unit. UAE site. UHP local 9. STATISTICAL CLASSIFICATION OF UNITS The CAE-Rev.2.1 intended to classify the sta tistical units, especially those in the previous paragraph, according to differe nt economic activities, ie the social activities organized for the production of goods and services. The statistical units covered by the CAE-Rev.2.1 cover, so all units regardless of the economy (market, non-market, social, etc.).. The act ivity of a statistical unit is determined by the Division of CAE-Rev.2.1 represe nting more than 50% value (or variable set). Where a subclass does not reach thi s value the unit will be classified by main activity, determined from the method or descending hierarchy, ie,the classification established at the most element ary of nomenclature should be consistent with the more aggregated level. Identif ying the principal activity of a unit with multiple survey using this method is summarized, based on the example below, the following: Example of a situation (a company with activities within section D-Manufacturing, Section H - Hotels and Restaurants and Section I - Transport, Storage and Communications) 39 SECTION SUBDIVISION OF D DG H HH I II SubClass 15510 15931 15932 16000 24410 24421 55111 55301 63 300 % Of GVA 9 7 6 12 12 13 12 13 16 a) Identified the CAE-Rev.2.1 Divisions and their relative importance in terms o f GVA or other variable set if you can not use the VAB, determinase, firstly, th e relative importance of each Section D ... ... ... .. 59% GVA H ... ... .... 25 % "I ... ... ... .. 16%" b) From the Main section, in this case D, determines th e most important Subsection OF ... ... ... .. 34% GVA DG ... ... .... 25% "c) Wi thin the subsection with the VAB, the higher (DA), determine the most important 15th Division ... ... ... .. 22% 16 VAB ... ... .... 12%" d) Within the Division more important ( 15) is determined by the 155 Group ... ... ... .. 9% VAB 159 . .. ... .... 13% "e) Within the largest group (159) determines the class in 1593 ... ... ... .. 13% GVA f) Within the class is determined that the Division has t he largest percentage of GVA 15 931 ... ... ... .. VAB 7% 15 932 ... ... ... .. 6% "In this case the main activity under the hierarchical method (top down) is 1 5 931 (7% of GVA), although the subclass 63 300 and all other consideration (exc ept 15 932) exhibit higher GVA. Despite this situation, if the assignment was ma de to the Division with the highest percentage of GVA (63 300), would get a rati ng outside the scope of Section D (59% of GVA). Beyond these basic rules other a spects should be considered for allocation of harmonized economic classification of statistical units. 40 In the case of vertical integration of activities in the same statistical unit, ie activities in which different stages are successively carried out by differen t parts of the same unit and that the products correspond to a consumption of an other (eg manufacture of fibers and textiles) the unit should be classified in t he activity that most contributes to the added value of goods or services produc ed. Activities partially integrated, ie, a part intended for sale and other food production chain drive, must also be carefully considered in the allocation of economic classification to the unit. In many situations and particularly when th ere are two vertically integrated activities, the integrated activity (upstream) determines the principal activity, considering the integral activity (downstrea m) as secondary, because it is reportedly less important in terms of value added or variable equivalent. For units with activities involving many different sect ors (usually different sections of the CAE-Rev.2.1), the explanatory notes of CA ERev.2.1 establish, in many cases, special rules of classification. Where, for e xample, the cultivation of vines and wine production by the same farm, the activ ity amount (vine growing) is the main activity of the unit. Units with activitie s for third parties are classified in the same subclasses of units that produce the same goods or services on their own. The units that are principally engaged in the installation or assembly buildings (eg heating equipment, gas, electricit y, elevators, windows, etc..) Fall within the construction. The installation or assembly at the site of a well (eg electrical appliances, alarm system) by the c ommercial or industrial establishment, carried on a customer service are of gene rally the nature of ancillary activities. The units that repair or maintenance o f equipment are classified in subclass producing its equipment, except the units for repair or maintenance of: cars (Group 502), motorcycles (Group 504), comput ers and office equipment (Group 725 ), and repair of personal and household good s (Group 527). Under the Retail establishments to determine the ranking of trade specialists, predominantly unskilled and food have been adopted to ensure the E U harmonization, the thresholds in NACE-Rev.1.1. In this sense, and once determi ned the range of products marketed,the assignment of classification must be mad e in accordance with the following rules: a) If the goods are marketed exclusive ly included in a subclass of CAE-Rev.2.1 this determines the classification of t he unit, b) Units with a value added tax (or other variable equivalent) in a Cla ss 1 CAE.Rev.2.1 of less than 50% are classified in the specialized trade (Group s 522, 523 and 524); 1 Not adopted the Division to ensure comparability with the NACE-Rev-1.1 41 c) Where goods are sold classes1 allocate up to four groups of 522, 523 and 524, without any of them reaches a value equal to or greater than 50% of value added (or other equivalent variable) and each one represents more than 5% , the stati stical unit should always be classified in the specialized trade (Groups 522, 52 3 and 524). In the example below shows 5225 Class ... ... ... .. 35% "5227 ... . .. ... .. 20%" 5244 ... ... ... .. 45% of the principal activity to be allocated to the unit, using the method down (the first definition Group and then the cla ss within the Group) is the class 5225. A subclass within this class would be de termined by this method, d) if the goods are tradable spread over five or more C lasses1 Groups 522, 523 and 524, each representing more than 5% of value added b ut did not contribute any of them with 50 % or more, the unit will be classified as non-specialized Commerce (Group 521), e) Any unit classified in Retail unspe cialized (Group 521), in which food, beverages and tobacco account for at least 35% value (or variable appropriately), is classified as Class 5211 and from this set in class. The remaining retail establishments unskilled sort will be in Cla ss 5212. 10. CHANGE OF ACTIVITY STATISTICS OF UNITS The principal activity of a statistic al unit, determined using the rules described in the previous point or other, ca n change abruptly or gradually, within a period of time more or less short, for very different reasons. Although the economic classification of each statistical unit should always be updated to be a key element to improving the quality of i nformation by industry is sometimes necessary to prevent the main activity is fr equently altered, especially when using criteria that do not guarantee a stable classification. The change of activity of a unit is important for the statistics provided it is done well in certain periods (eg at the beginning of the inquiry ) and ensure the comparability of survey results for different intervals for the same year. Although there is no plan in operation or can be created at national level a rule that gives a certain stability to the code of the main activity of a statistical unit, changes of activity should be investigated and decided casu istical, which seems reasonable in the absence of precise information and in the case of activities likely to frequent fluctuations, changes in activity code sh ould only occur after they have information that the unit has a new core busines s for at least two years. 42 11. RELEVANT ASPECTS AT THE LEVEL OF MAJOR CATEGORIES (SECTION) At this point yo u want to give a synthetic view of relevant aspects of each section, to enable a better understanding and interpretation of CAE-Rev.2.1. The explanatory notes a nd even abundant in some detail in certain subclasses, do not replace the commen ts below, becoming even as a necessary complement. Section A - Agriculture. ... Agricultural activity includes agricultural and animal production, both in ter ms of goods or services specific to the activities of this Section; The mixed production farms are classified according to their main activity, while for the units farm and animal combination regimen is necessary first to establish a rati o of expertise. Agricultural cooperatives are categorized according to their mai n activity. Section B-Fishing This section includes, in addition to fishing, g athering seaweed and other products from marine and inland water and aquaculture and related fish species under controlled; The units providing services to be classified in subclasses it follows the physical production of goods, Section C - Extractive Industries In the extraction of the products in nature (solid, l iquid and gaseous)This section includes the transformation and upgrading, made on site from the extraction and the refining of salt agglomeration of coals and ores, associated with or independent extraction; This section is divided into two Subsections (mining and extraction of energy products non-energy products) t o allow statistical analysis of the energy area, Section D - Manufacturing Thi s section is divided into 19 Subsections (DA to DN). Begins in the agri-food ind ustries (DA), creates a division 23 (manufacture of coke ...) in Subsection DF f or the row and ends at the energy division 37 (recycling) Subsection (DN Manufac turing nec); Manufacturing industries produce goods and services. The major in dustrial and services performed for third parties, are placed on individual acti vities. The major repair and maintenance (repair and maintenance of capital equi pment) derive a general rule, activities where you do the physical production of goods. The repair and maintenance of assets of small, generally known as consum er goods do not belong to the realm of manufacturing; 43 Section E - Production ... .. This section (production and distribution of ele ctricity, gas and water) is presented as an important part of the energy area, f inding the remaining parts of Section C (the extraction of coal, oil, uranium an d gas) and Section D ( manufacture of coke, refined petroleum products and nucle ar fuel); includes, besides the production and distribution of electricity, ga s and water, some specific services (eg water treatment) and the production of i ce, steam hot water; Section F - Construction The construction activity includ es the actual construction and demolition (deconstruction) as part of building c onstruction and civil engineering works are the result of various activities; Not all the activities that contribute to the erection of such works are include d under this section (eg, manufacture of building materials, assembling or insta lling equipment industries which fall under Section D). The assembly or installa tion of equipment designed for a building to act as such (eg wiring) belongs to the realm of construction, Section G - Trade ... This section includes all for ms of trade and repair of motor vehicles, motorcycles and goods personal and hou sehold effects. The divisions of this Section include the motor trade (including repair) and the retail fuel (Division 50), wholesale trade (Division 51) and re tail trade (Division 52); The agents in the sale are subclasses specific in Di vision 51 for classification, while the retail agents are classified in the subc lass for which a normal activity of retail trade; Certain categories of produc ts, by their specificity in terms of trade, are not classified in trade retail, and there is for this reason a parallel between the Divisions 51 and 52; In re tail trade, the trade group 526 is not in stores (correspondence, Internet, kios ks, fairs, vending, etc.). and groups 521, 522, 523, 524 and 525 correspond to t he retail trade in stores. The group 525 is the trade of second hand and the oth er new products. The group regards the 521 non-specialized trade (predominantly food or not) and Groups 522, 523 and 524 refer to the specialized trade (food or otherwise). The concepts of specialization and expertise and not predominantly been defined in section 9 (Classification of statistical units). Section H - Hol iday Accommodation ... classified in this section corresponds to the short-ter m accommodation and encompasses both the hotels or other places of short duratio n; 44 The restoration (restaurants and the like) includes the restaurants themselves , eateries, public houses and the like in which food and drinks are consumed, us ually in situ, as well as canteen and provision of meals at home ( catering), Se ction I - Transport ... The transport may result from a collective or individu al benefit (eg taxis), as well as hiring drivers with a means of transport; Th is section includes, in addition to the transport itself, a wide range of activi ties more or less associated with transport (storage, cargo handling, management of transport infrastructure, travel agencies,organization of transport, etc..) activities postal and telecommunications services (transmission of information without processing information), Section J - Financial The financial activitie s include the units of monetary intermediation (banking in a broad sense), the b rokerage units financial (financial activities conducted by entities other than the monetary institutions), insurance, pension funds and activities auxiliary to financial intermediation, insurance and pension funds, Section K - Real Estate. ... This section includes a wide range of activities within departments. Divi sion (70) deals with the real estate business (eg, purchase, sale, withdrawn, ad ministration and real estate), the Division (71) focuses on the rental property without staff, the Division (72) is limited to activities Computer-related (incl uding maintenance and repair of computer equipment), the Division (73) classifie s the units of fundamental research and development, applied research and experi mental development and the Division (74) addresses a variety of services primari ly to firms (eg legal, engineering, architecture, advertising, etc.).. Section L - Public Administration ... .. The concept of public service is seen as the c ombination of regulatory activities and management support activities which by t heir nature, can not exert themselves on a market basis; The legal or institut ional status is not decisive to classify this Section units of "administrative n ature." There are activities (eg education, health) that do not fall under this section, even if the government develops these activities at a level higher or l ower, Section M - Education This section includes, in addition to teaching at all levels and forms, the activities of institutes and military academies, drivi ng schools, vocational training and art education; 45 Section N - Health and Social Services The activities directed to human health (hospital, liberals, paramedical, etc.). And veterinary activities, performed a s inpatients or outpatients, with or without profit, are set forth in this Secti on; In context of social action includes the activities of the department of s ocial facilities, public or private, with or without accommodation, Section O - Other Service Activities ... This section includes a wide variety of activitie s within the service community, social and personal namely, sanitation, public h ygiene, activities of associations, cultural, recreational, sporting, artistic a nd personal treatments, Section P - Activities for Families ... Includes the a ctivities of domestic workers as workers and household production of goods and s ervices for private use of families; Section Q - Bodies ... This section inclu des the activities of international organizations, embassies, consulates and oth er extraterritorial institutions, with diplomatic immunity, established in Portu gal; 12. GENERAL RULES OF UNDERSTANDING As mentioned in section 6 (Delimitation of sc ope), the structuring of the levels of CAE-Rev.2.1 followed a number of criteria that is vital for determining the degree of relatedness of the activities of pr oductive units, as well as their correlations in the general economic environmen t. The various categories of CAE-Rev.2.1 were created because they have proved o f particular interest, whether to structure the statistical community and nation al level. The names and the corresponding explanations are an attempt to underst anding the most important aspects covered by each category, within the principle s (not always easy to apply) underlying the drafting of a document of this natur e (short descriptions, explanatory notes sufficient and objective). The explanat ory notes have been built for various levels of CAE-Rev.2.1 being paid special a ttention to the Division, being the elementary level and consequently the level where homogeneity is more difficult to achieve. For a proper understanding and p roper use of CAE-Rev.2.1 need to do a reading of the entire hierarchy of the nom enclature, since the explanatory notes 46 submitted to the Section or Division (very general in nature) are not presented within the class or subclass. The explanatory note in order to specify with some accuracy the "boundaries" of each activity is presented, usually divided into t wo parts: - One on the part comprised in each activity, usually initiated with " comprises the activities ... "or" includes, in particular, .... "- The second r elates to exclusions (subject to the phrase "does not include:"), ie, reference to activities or products that raise more questions with the activity in questio n, referring them to the categories set; explanatory notes try to specify the co ntent central to each category and show, in some specific situations, rules for the classification of units. For many categories, either because they consider s ufficiently comprehensible, whether it was not possible to achieve the necessary consensus, are not presented explanatory notes. 13. DEFINITIONS AND CONCEPTS WITH PARTICULAR INTEREST At this point presents som e concepts and definitions of terms used in CAERev.2.1 in order to provide the u ser with greater rigor in its interpretation. The settings shown may not be comp atible with others for the same concepts or terms used in other contexts. Leasin g Special form of credit. Industrial Process Manufacturing process (physical, chemical, manual, etc..) Use d in the manufacture of new products (consumer goods, intermediate or investment ) and the provision of industrial services, as defined under Sections C, D, E an d F . Production - activity that has resulted in a product. Covers all economic activi ties. The notion of production can be given by other terms (eg, manufacturing, p rocessing, etc.).. Production marketable and unmarketable The marketable product ion is sold under the rules of the market while non-tradable can be distributed free or at reduced prices. The unmarketable and marketable production depends, u sually of the lender. Product 47 - Results of an economic activity, applied to goods and services. Finished Products - Product with processing completed. Exclusive Product Seconda ry product technologically linked to the production of other goods category and not produced elsewhere (eg, molasses / sugar production). Product Secondary Joint Product technologically linked to the production of othe r goods that is produced in several categories (eg, hydrogen produced in the bas ic chemical and oil refining). Semi-finished product that has undergone a process and requires further processi ng for later use (eg molds crude sold for a drive and finish in another unit). Transformation process that modifies the nature, composition or form of raw mate rials and semi-finished products in order to obtain new products. Treatment process to protect or provide certain properties or to avoid any detri mental effects on certain products that otherwise might result from their applic ation (eg, treatment of wood, crops, garbage, etc.).. Transformation of recycling waste and debris in a position to be used in the pro duction process. Activity recovery of screening residue, with or without prior treatment with the aim of recycling, re-use or reuse. Gross Value Added Value of gross output minus the cost of raw materials and othe r outlets in the production process. 48 14. FRAMEWORK FOR IMPLEMENTATION AND MANAGEMENT The need for harmonization of ec onomic and social policies at EU level and creating conditions for closer cooper ation between Member States and other economic blocs formed the basis for the de sign of NACE and the approval of Regulation (EEC) No 3037/90 of 9 October, the t ext can be found in part on attachments. This Regulation provides the framework for a coordinated implementation and management of NACE-Rev.1.1 and national cla ssifications derived or related. Decree-Law relating to the CAE, attached, provi des the basic frameworks for the implementation and management of CAE-Rev.2.1 co ordinated nationally. The close links between NACE-Rev-1.1 and CAE-Rev.2.1, whet her arising from principles of Regulation of NACE, or the methodology used in th e encoding of CAE-Rev.2.1, concluding that updates and future developments of CA E-Rev.2.1 are largely conditioned by the development of NACE-Rev.1.1. The interd ependence created between the CAE and NACE as well as other classifications and classifications require the introduction of an Integrated Statistical Nomenclatu res (SINE). SINE corresponds in practice to a management system, supported by mo dern technology, allowing, in short, loading, relationships, updating and editin g classifications. The availability of the SINE to translate into a "value added " very significant in supporting statistical systems,in terms of leveraging syn ergies or efficiency of statistical coordination. SINE must integrate in real ti me all changes in classifications, considering the changes resulting from the "c hain links" established between the classifications of activities between themse lves and the classifications of goods and services as well as other classificati ons affinities with each other . The analysis of the doubts and difficulties enc ountered in the application of CAE-Rev.2.1, as well as the study of adaptation t o economic reality, the responsibility of the CSE, and to this effect be submitt ed to the NSA (an entity that has responsibility for its current management ). 49