Price hike of construction materials forced many projects to stop: LGRD minister

The unnatural price hike of construction materials has forced contractors to stop various projects across the country, Local Government and Rural Development (LGRD) Minister Md Tajul Islam said today (4 February).

The minister made the statement while answering a supplementary question of Awami League MP elected from Patuakhali-3 Constituency SM Shahzada in Parliament.

In the question, the ruling party MP said there has been a lot of development under the Ministry of Local Government. But many construction works, including schools and institutions, have been lying half-complete for a long time. 

"Now the situation is like this, it would have been better if the work had not started. As the works are stopped, the district executive engineer is not being done despite repeated requests," he said. 

He also mentioned that MPs are facing many embarrassing situations for promises they made while seeking votes during the elections. 

In reply, the LGRD Minister said the price of construction materials has increased manifold due to global instability. 

The minister said the rod which used to be sold at Tk50,000 per metric ton is now being sold at Tk1 lakh per metric ton. The cement which used to be sold at Tk200-300 per bag has become Tk500. 

"In all the works in which contractors participated, contractors expressed reluctance to work due to increase in prices," he said. 

He mentioned that the government realised the reality and increased the price of all these materials with the permission of the prime minister.

"But the contractors who had worked earlier have made their decision as they face real challenges, as we have no option but to issue fresh tenders excluding the works that we have a legal obligation to do.

"In many areas, including my constituency, contractors got work but could not implement it, all their work will be cancelled and new contractors will be appointed to implement it," he said.