Rod and cement prices on the rise

Sources said price for per ton 60-grade bar is now selling at Tk 39,500 to Tk 39,900, which was sold in February at Tk 34,000 to Tk 34,500.

Similarly, the cement price also witnessed a sudden hike of Tk 20 to Tk 30 for each 50-kg bag in recent time, they said.

The traders said currency devaluation against dollar, scarcity of raw materials, increase of import duty and bank interest, and transport hike are the main reasons for the situation.

Sources said prices of rod have increased thrice within a period of one month since mid-February.

Bayezid Still and Re-rolling Mill are selling a ton of 60-grade bar at Tk 39,500 and 40-plus grade bar at Tk 37,500 while Bangladesh Still Re-rolling Mill is selling the same at Tk 39,900 and Tk 37,200, said sources in the market.

The cement companies like Ruby, Confidence, Diamond, Aramit, S Alam, Mostafa and Royal are selling a 50-kg bag cement from Tk 268 to Tk 248 now, which is Tk 30 to Tk 20 up than the price in February.

"The price hike of rod and cement has forced construction of residential building and other structures sliding to a great extent," said Md Ishaque, a rod-cement businessman. Besides, cost for construction and labourer also soared up, he added.

Jamal Ahmad, a trader at Khatunganj, said the non-availability of two key raw materials MS Scrap and Billet is one of the main reasons for the present price hike of rod.

"Previously, we used to get the raw materials from neighbouring India. But we can't import those as India reduced the export following price hike of rod. We've to import raw materials now, at a much increased rate, from Middle Eastern countries which has forced us to increase the rod price locally," he said.

"The rise of dollar and the recent increase of bank interest from 11 percent to 15 percent are also responsible for the situation," he added.

Sirajul Islam, a former government official, planned to build a house on two-katha of land at Chawk Bazaar area in the city but he is in dilemma whether or not to proceed to materialise the dream, as prices of construction materials go beyond his imagination.

"I did save some money with a view to constructing a house but the soaring prices of rod, cement and other items have discouraged me at this moment," he said.