The prices of building materials are soaring

The herald

Michel Tome
Business journalist
PRICE increases swept through the local housing construction sector in the third quarter through September 2021, the Zimbabwe National Statistics Agency (ZimStats) said in its latest Quarterly Building Materials Price Index (BPMI). .

According to ZimStats, from June to September 2021, the rate of change in BPMI was 13.80%, gaining 5.12 percentage points from June’s rate of 8.68%.

The year-on-year BPMI stood at 42.11% in September 2021 compared to the same period last year.

This follows an increase in the construction of single-family homes and private sector-led infrastructure development in the country.

The price increase, evidenced by the surge in the BPMI’s third quarter index, was due to price increases in building materials which included building lime, enamelled salt piping, crushed stones, glass, copper pipes, paint, tank, cement, corrugated asbestos. , galvanized iron pipes and steel windows.

The period was also marked by an increase in the prices of wooden doors, nails, softwood pine, river sand, steel door frames, water heaters, bolts, electrical boxes, planks of wood. faucets, buffalo boards, sinks, locks, electrical cables, sinks, bathtubs. showers, wall tiles, vinyl tiles, gutter gauges and termite poison.

Laminated pine, meranti baseboards, pine baseboards, parquet blocks and water heaters show a modest increase thus contributing insignificantly to the BPMI movement.

The prices of low level suits, pit sand, distribution boxes, pipes and tiles have fallen, thus contributing to the BPMI balance.

According to 2021 statistics from local cement manufacturers, Zimbabwe’s construction sector appears to be on track for a revival, driven by public spending on infrastructure and private development.

However, a recent increase in cement prices could limit the recovery. On average, a 50 kg bag, which usually costs around US $ 10.50, now costs around US $ 13.

On the other hand, the monthly price index of the Civil Engineering Materials Price Index (CEMPI) rose 3.53 percentage points from 4.55% in August to end the month of September at 8.08%.

The products that contributed the most to the rise in BMI in September 2021 were bricks, cement, warped steel, diesel, river sand, shutter panel, crushed stone and concrete pipes .

Monthly prices for asbestos pipes and bitumen remained constant, which had a negligible impact on the movement of the index, while prices for sluice gates and joint compounds fell, thus contributing to the decline in the index.