Rising cost of cement, steel and sand impact construction sector in Andhra Pradesh

Last Modified: Mon Nov 15 2021 14:08:41 GMT+0530 (India Standard Time)
  • 40%
    Increase in cost of construction due to steep rise in prices of raw materials such as cement, steel and sand in Andhra Pradesh.
  • Rs. 69,500
    Cost per tonne of steel in Nov 2021 compared to Rs. 47,000 a few months ago.
  • Rs. 425
    Cost of cement per bag in Nov 2021 compared to Rs. 290 a few months ago.
  • Rs. 1,100
    Minimum cost of sand per tonne. The costs of other fixtures such as electricity, plumbing and tiles have also increased.
  • Rs. 5,000
    Average cost per square foot compared to Rs. 3,500 a few months ago.
  • Rs. 47 lakhs
    Average price at which builders will want to sell a flat, if the rise in prices of raw materials were to be taken into account. The same flat would sell for Rs. 40 lakhs earlier. For new projects, the increase in prices can be passed on to the buyers but it may not be possible for already existing agreements under the RERA. The construction sector was already hit by the pandemic and related restrictions.
  • 10,000
    Estimated ongoing projects across the State. In Vijayawada and Visakhapatnam, about 1,200 to 1,400 projects each are under progress. Remaining are in cities and towns such as Guntur, Tirupati, Kurnool, Rajahmundry, Kakinada etc. The flats space fall in the categories of 800ft, 1,000ft, 2,000ft and 3,000ft.
  • 3,000
    Number of builders across the state that will be impacted.