Wednesday, July 16, 2008[ manilatimes.net ]
By Darwin G. Amojelar, Reporter
PRICES of construction materials in Metro Manila grew by double digits last month, as oil hit fresh records, the National Statistics Office (NSO) said Tuesday.
The NSO said the construction materials wholesale price index jumped to 13.5 percent in June from 9 percent in May.
The agency said all commodity groups registered higher prices except for lumber, asphalt, plumbing fixtures, exterior electrical equipment/supplies, interior electrical fixtures and devices, tile works, blasting materials, electrical rough-in materials and UPVC water pipes.
On a month on month basis, construction materials rose 4.7 percent in June from 1.8 percent in May.
The NSO attributed the increase to the 19.1-percent gain in the prices of aluminum and other metal products from zero growth previously.
In addition, prices of fuels and lubricants nearly doubled to 12.6 percent from 6.7 percent previously. Hardware prices rose three-fold to 10.2 percent from 3.2 percent, while prices of reinforcing steel, structural steel, and interior electrical fixtures and devices rose to 7.8 percent from 5.8 percent, to 14.3 percent from 1.6 percent, and to 1 percent from 0.3 percent, respectively.
Prices of sand, stone and gravel also increased to 3.5 percent; cement, 0.4 percent; plywood, 0.8 percent; wood products, 2.8 percent; PVC pipes, 2.6 percent; paints, 0.4 percent; G.I. sheets, 0.7 percent; and electrical rough-in materials, 1.1 percent.
Prices of metal pipes and concrete products, however, slowed down to 1.1 percent and 0.5 percent from 1.9 percent and 0.7 percent previously.
The soaring prices of construction materials are hurting property companies as steel and cement are their main requirements for building residential houses and condominiums.
Eton Properties Philippines Inc. earlier announced that it ordered construction materials ahead to avoid additional costs because of the increasing prices. Other companies like SM Prime Holdings Inc., Keppel Philippines Properties Inc. and Megaworld Corp. had said they were rethinking their expansion plans this year on account of higher inflation.
________________________________________________________________
