CHENNAI: Construction industry in the state is facing a severe crisis, with the cost of key material including sand and blue metal (crushed rock) rising sharply.
With one needing to spend as much as 18 lakh on M-Sand, blue metal, and P-Sand alone to construct a 1,500 sq ft house in Chennai or any other part of Tamil Nadu, the Southern Lorry Owners Welfare Association has made an appeal to chief minister M K Stalin, emphasising the crippling impact on both public and private construction projects. “Since Feb, prices surged by more than 100%, with M-Sand rising from 650 a tonne to 1,250 a tonne, blue metal from 500 a tonne to 1,000 a tonne, and P-Sand from 750 a tonne to 1,500 a tonne,” said R Munirathinam, president of the association.
The soaring costs have left 90% of tipper lorries non-operational across Tamil Nadu. Key projects, including those by Tamil Nadu Public Works Department, private multi-storey buildings, Tamil Nadu Housing Board apartment complexess, Chennai Metro Rail projects, Ennore Port expansion, private corporate projects, and residential construction have stalled, directly impacting five million construction workers.
The price increases, builders point out, first began in Karur, Coimbatore, Salem, Namakkal, and other western districts before extending to the southern and delta districts. Since Feb, quarries and crushers across districts such as Kancheepuram, Chengalpet, Tiruvallur, Tiruvannamalai, Ranipet, Vellore, Villupuram, and Cuddalore have raised rates. “Prices increased by at least 20%. We also held a hunger strike in Tiruvarur recently. In the last three weeks, there have been shap hikes in Chennai. For govt projects, construction costs doubled compared to rates quoted in tenders. Similarly, private builders who entered agreements with buyers now face significant losses,” said S Ramprabhu, chairman of the DTCP committee at the Builders Association of India.
The Southern Lorry Owners Welfare Association has urged Stalin to take immediate action. “All quarries, particularly blue metal quarries, should be reopened immediately. Collectors should receive directives to facilitate this,” added Munirathinam.
Builders are also calling for a regulatory authority. “Govt must regulate these costs. Additionally, river sand quarrying should be permitted to stabilise supply,” said Ramprabhu.
