Kochi's Realty Sector in a Material Crisis

The price of cement has touched Rs 460 last week and has increased by as much as Rs 50 daily. In June, it had crossed Rs 500. Builders claim that dealers are cashing in on this chaos. Though the government aims to scale up production at Malabar Cements to meet 25 per cent of the demand, procedures are yet to be initiated. Prices of materials like iron, steel, PVC pipes and cement were also affected by the closure of several factories that made these items. There has been a reduction in the import of steel from China for the last six months. The state depends on expensive steel coming from states like Tamil Nadu, Chhattisgarh and Andhra Pradesh. Besides, a 30 to 40 per cent increase in demand is found in iron, PVC, plumbing materials, paint and quarry materials. Because of this price hike, the price of apartments has gone by Rs 850 per sq ft across Kochi. With the unrestricted hike in the price of raw materials, the construction sector is staring at a deep crisis.  Essential items like cement are touching sky-high rates and forcing many builders to opt for alternatives, Builders demand government intervention to address the issue that affects lakhs of workers