Building costs up as prices of wages, materials increase
Jul 16, 2014-
The price of construction materials has increased by 6.7 percent in the third quarter of the current fiscal year compared to the same period last fiscal year, according to the Central Bureau of Statistics (CBS).
During the same period, wages in the construction sector rose by 7.2 percent. As a result, construction costs for people who had to purchase construction materials and also pay wages to the construction workers rose by 6.8 percent, the CBS said.
According to the quarterly index of the construction sector released by CBS on Wednesday, out of the 24 construction materials whose prices were compared, 13 products which include polythene pipe, bitumen, electrical items, marble, paints, glass, Hume pipe, stone, clay, tiles, sand and timber witnessed a price rise between 10-18 percent over the year.
Likewise, nine products including bricks, GI pipe fitting, electrical wire, gyabin wire, GI pipe, zinc sheet, aluminum, billet and iron rods saw the price rise of 9 percent during the period. The price of polythene pipe witnessed an 18 percent rise, which is by far the highest among the construction materials.
Meantime, wages of electricians and painters saw an increase of 13 percent, the highest among the construction workers, while engineers saw their wages increase by only 6 percent.
While looking at rise in the prices of construction materials over the last six years, construction materials became dearer by 70.1 percent in the third quarter of this fiscal year compared to same period of fiscal year 2007-08. Likewise, the wages surged by 128.9 percent during the period.
Headings Annual change
Wage index 7.2pc
Price index 6.7pc
Cost index 6.8pc
Published: 17-07-2014 09:10