Fuel price hike blamed for rising construction material costs in Arakan State

By DMG 20 Sep 2021

DMG Newsroom
20 September 2021, Sittwe

The cost of bricks, sand and stones in Arakan State has risen due to rising fuel prices, according to industry stakeholders.

As a result, boat owners who export sand and stones are asking for higher prices, according to the operators.

“The price of bricks has risen from K5,000 to K10,000. The price has gone up because of the boats that carry bricks and stones. Motorboat owners say prices have risen due to rising fuel prices. Stones used for construction of homes and buildings are usually not expensive at this time,” said Ko Kyaw Aye San, owner of the Yoma construction materials sales shop.

The price of kerosene used to be K2,000 per gallon in the past, but has now risen to K6,000 per gallon, another source said by way of example.

“It is the rainy season and the Covid-19 pandemic is occurring, and sales of construction materials are down. And with some businesses shutting down, sales of construction materials aren’t much,” said an unnamed businessman who sells bricks and sand.

Last year, a pile of stones could be delivered to a customer’s house for K70,000, but this year it can only be delivered for K80,000, one industry stakeholder said.

Construction companies have also said that some buildings have been shut down due to rising prices for construction materials.

Sales have been sluggish due to the rise in prices, according to businesspeople who sell bricks, sand and stones.