Prices of construction materials, namely cement, sand and iron rods, have gone up by up to 20 percent in the domestic market in the last three months, as post-earthquake reconstruction works have fuelled demand for these products.

Each tipper (265 cubic feet) of sand now costs Rs30,000. The product used to cost Rs25,000 around three months ago, according to Narayan Paudel, owner of Jayamata Pathivara Suppliers, a shop located at Kalanki that sells sand, gravels and bricks.

Prices of cement, which commands 28 percent of the construction budget on average, have also gone up by up to 10 percent in the domestic market in the last three months.

Nepal-made Ordinary Portland Cement (OPC) now costs Rs900-Rs920 per 50-kg sack, according to Bhim KC of Ramjanaki Hardware Centre at Kalanki. The product was available for Rs850 per 50-kg sack three months ago.

Price of Nepal-made Portland Pozzolana Cement (PPC), on the other hand, which hovered around Rs730-Rs750 per 50-kg sack three months ago, has now jumped to Rs800.

Prices of construction materials are going up lately as post-earthquake reconstruction and other construction works are moving ahead at a faster pace, according to the Federation of Contractors’ Associations of Nepal (FCAN).

“May, June and July are peak season for construction works in Nepal, as government-led construction works rise during this time of the year. Also, demand for construction materials has gone up lately due to post-quake reconstruction works. But supply of many of these materials has not been able to catch up with the demand. Hence, the price hike,” FCAN President Sharad Kumar Gauchan said.

Because of these reasons, price of iron rod has also gone up by around 3 percent to Rs77 per kg. Around two weeks ago, price of iron rod stood at Rs75 per kg, according to Rabi Maharjan, an accountant at New Siddhi Hardware Centre in Kalanki.

Despite this, prices of other construction materials like bricks and gravels have remained stable in the last three months.

Each tipper (265 cubic feet) of gravel used to cost Rs30,000 three months ago. This price has not changed over the period of last three months. This is the same for bricks.

Bricks of ‘Quality No. 1’ used to cost Rs16-Rs17 per unit three months ago, while bricks of ‘Quality No. 2’ used to cost Rs13-Rs14 per unit. Similarly, bricks of ‘Quality No. 3’ used to cost Rs9 per unit three months ago. Prices of different varieties of bricks have so far remained unchanged, according to traders of construction materials.

A quick look at prices