THE Malaysian Malay Contractors Association (PKMM) has urged the government to monitor price increases of building materials to ensure the industry’s supply chain was not affected.  

President Mohamed Fadzill Hassan said the price increases of cement and iron could affect the construction industry if not regulated.  

He said PKMM discovered drastic price hikes that were almost unaffordable, especially for metal construction materials. 

“A tonne of iron today is about RM3,300 compared to between RM2,600 and RM2,800 before with an estimated RM500 difference, forcing some contractors to postpone building or housing construction because as contractors, we only execute the project. 

“It’s the same with cement. I understand that there will be a price increase. When cement price rises, any construction involving cement will go up. It will cause hardship to contractors if the price were to rise two or three times a month, as if there is no control, with the price changing as and when it pleases the producer,” he said at a press conference at PKMM Perak’s 46th Annual General Meeting today. 

Menteri Besar Saarani Mohamad and Yang Dipertua PKMM Perak Jamaludin Abdul Rahim officiated the event. 

The Statistics Department said in May that the price index per unit of cement and iron recorded a 0.3% and 0.9% rise, respectively, in April. 

Chief statistician Mohd Uzir Mahidin said the increase had eased from March’s 1.1% for cement, while iron recorded the same quantum of increase at 0.9% in March. 

The average per unit price of iron comprising mild round steel bars was RM3,721.72 per tonne with an increase of 0.8% compared to March’s RM3,690.90 per tonne. 

Meanwhile, Mohamed Fadzill said construction industry players such as contractors, sub-contractors, and suppliers hope the government will continue to regulate the price increase of building materials effectively. 

“Contractors, the backbone of the country’s infrastructure development, will be relieved if there is immediate monitoring from the government. 

“This matter needs immediate action,” he said. – Bernama, June 15, 2023.