Aman Sood
Tribune News Service
Patiala, October 14
The construction industry and the common man have taken a hit after prices of construction materials, including bricks, cement, steel and iron, have gone up following the rise in price of coal.
While power demand has dropped, slow coal arrival still ensures limited production.
Experts say the recent rise in the price of coal and petroleum products are said to be the main reason for such a hike. “You can easily judge the hike from the fact that top brand cement now costs Rs 525 per sack, almost Rs 35-40 more than its selling price until recently, while low category cement is now priced around Rs 395, up from Rs 355 in July,” an expert said.
The prices of bricks, too, have shot up to Rs 6,500 from Rs 5,400 per 1,000 bricks. “I was getting coal at Rs 11,000 per tonne in July and now the price is Rs 24,000 per tonne, including freight. So, there is no option but to increase the prices,” said Pankaj Maini, who owns three units of hand-moulded clay bricks.
Even at the fag-end of 2020, the prices of building material had increased after construction activity resumed following Covid-19 lockdown.
Even the steel and iron prices have shot up. “Iron was priced at Rs 5,000 per quintal in July, but now costs around Rs 6,000 per quintal. The TMT steel price has also doubled,” said Rajiv Sood, president of Small Scale Re-Roller Association.
Insiders say another crucial factor for the price hike of construction material is the burgeoning fuel prices. With both diesel and petrol over Rs 100, transportation of construction material is becoming dearer.
Construction cost up as coal prices soar
{$excerpt:n}
