Prices of key construction materials have continued to rise, with growth remaining above the 3% mark, keeping pressure on real estate developers, contractors, and infrastructure projects across the country. Industry reports indicate that the cost of cement, steel, sand, and other essential materials has remained elevated due to strong demand and supply-side constraints.
Experts say the steady increase in material prices is largely driven by ongoing infrastructure activity, highway construction, urban redevelopment, and housing demand in major cities. Higher fuel and transportation costs have also contributed to the overall rise, making project execution more expensive for builders.
Developers have stated that while demand for residential and commercial projects remains stable, rising input costs are forcing companies to carefully manage pricing strategies. In many cases, builders are unable to pass the full cost increase to buyers, leading to tighter profit margins.
Contractors involved in government and large private projects are also feeling the impact, as fixed-price contracts become difficult to maintain when material prices continue to climb.
Market analysts believe that unless supply improves or commodity prices soften, construction costs are likely to remain elevated in the coming months, affecting both new project launches and overall real estate sentiment.
