ISLAMABAD: Pakistan’s construction industry is witnessing a significant downturn in material prices following a sharp depreciation of the US dollar against the Pakistani rupee. Construction materials, including steel, have experienced a remarkable drop in prices, bringing relief to both consumers and builders across the country.
The price of steel per ton has plummeted from 2 lakh 90 thousand to 2 lakh 40 thousand, marking a substantial decrease of 50 thousand rupees due to the rise in the value of the rupee against the US dollar. This drop in steel prices is part of a larger trend where various materials, including petroleum products, vehicles, electronic goods, and gold, have seen declines in prices due to the weakening dollar.
Decrease in Construction Materials’ Prices
Traders and market experts have attributed this decline to lower production costs, leading to reduced prices for consumers. The relief is particularly welcomed as consumers have been grappling with high utility bills, making it difficult for them to bear the burden of inflated construction costs.
This development comes at a critical juncture for the construction industry in Pakistan, which has been facing immense challenges this year due to soaring material costs. The prices of essential construction materials like shingle and cement had surged, pushing the construction sector to the brink of collapse. Builders and contractors had struggled to manage budgets for housing projects, with the costs of shingle, cement, concrete, and bricks reaching unprecedented levels. Consequently, construction contracts had inflated, affecting both urban and rural areas, with smaller towns experiencing a significant slowdown in construction activities.
