Construction activity has come to a standstill in the city with acute shortage of sand and escalation in prices in the district. Builders in the city are sending SOS to the State government seeking measures to ease the situation arising out of scarcity of sand.
With meagre supplies from two sand reaches in the district, sand price is hovering between Rs. 12,000 to Rs. 13,000 per lorry in market. The price used to be between Rs.3,000 and Rs. 5,000 per lorry a couple of months ago, say builders. The skyrocketing prices are compelling the builders to slow down the activity. The city requires 200 to 300 lorries of sand every day, according to Confederation of Real Estate Developers’ Associations of India (Credai) Vijayawada chapter president Y.V. Ramana Rao. The builders were dependent on their old stocks so far. But, the escalating prices and shortage is likely to push the industry into doldrums.
The builders can neither bear the burden nor pass it on to the customers as the flats were already sold at old rates. The slowdown would have an adverse impact on more than 50,000 people, who were either directly or indirectly dependent on the construction activity in the city alone, he says.
All quarries were closed, except two reaches out of the 72, in the district following an order by the High Court in 2012-13. The sand prices were on rise since then, Mr. Rao said. Credai State president A. Siva Reddy says the increase in the prices of other raw material such as cement, steel, and labour has compounded the problem.
Cement prices rose to Rs. 300 from Rs.200 two months ago. After a lot of persuasion with cement companies it was being sold at Rs. 270 per bag now.
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