Costs of Construction Materials Undergo Record Increase amid Economic Unrest
According to the latest market survey, the material costs have sky-rocketed for the fifth time in the last 5-6 months, and government contractors and developers have demanded extra funds. As per the latest news, the costs of construction materials, specifically steel have undergone record high during the last quarter of 2022 and now 2023.
A huge rise in the process of construction materials has increased the development cost of different housing schemes and mega projects up to 25% to 30%. The new steel prices are 2 Lac 10 Thousand per ton, and Steel Mills and dealers have refused to provide it at old costs, which are causing problems for different housing schemes and development projects.
The noticeable increase in the price of construction materials at the start of the New Year has largely affected all the government and private development projects as well as different housing schemes. A 25% to 30% increase in the total costs of development schemes has been witnessed till now and experts suggest that the prices will further increase due to economic instability in the country.
Furthermore, government contractors have already demanded extra funds to continue the ongoing development work. Moreover, the government has also decided to create PC-1 planning permission for all government-level projects. This increase in prices of construction materials has caused a high increase in the cost of house construction. The cost to develop a 5 Marla house has increased up to 3 Lacs.
Latest Costs of Construction Materials
According to the latest market survey, the cost of development materials has increased as follows:
- The prices of steel are increased from 1 Lac 75 Thousand to 2 Lac 10 Thousand.
- Similarly, a single bag of cement was previously available for 900 Rupees but now it is available for 1150 Rupees.
- A single trolley of sand is now available for 3600 Rupees which was previously available for 2700.
- Crush prices have increased from 4000 Rupees to 47000 Rupees.
- 10,000 bricks price is now available for 13 Thousand which was 11 Thousand in the past.
- Labor for home shuttering is now 40,000 Thousand which was 27,000 in the past years.
- Roof plaster labor has been increased from 35 Thousand to 50 Thousand.
- Similarly, the cost of linter machinery and labor has increased from 28 Thousand to 40 Thousand.
The President of the the Contractor Association of Pakistan has clearly said that building materials will be available on new rates only. This large increase in construction prices has affected different projects like Kacheri Chowk Underpass and Overhead Bridge. Moreover, all of these government projects will start after the approval of more funds from the authorities.
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