NCR construction price hike slowest in Sept 2020–PSA

THE increase in wholesale construction prices in Metro Manila slowed to its lowest rate for the year, according to the Philippine Statistics Authority (PSA).

PSA data showed that the Construction Materials Wholesale Price Index (CMWPI) in the National Capital Region (NCR) only posted growth of 0.5 percent in September 2020.

The CMWPI annual rate in August 2020 was recorded at 1 percent and in September 2019, 3.8 percent. PSA said the CMWPI posted an average growth of 1.4 percent in the January to September period.

PSA said the prices of construction materials such as plywood and plumbing fixtures; reinforcing structural steel; and fuel and lubricants all contracted.

The average price of plywood and plumbing fixtures and accessories/waterworks contracted 0.6 percent; reinforcing and structural steel, -2.5 percent; and fuel and lubricants, -9.1 percent.

PSA data also showed that the year- on-year increases in the prices of concrete products and cement slowed to 1.2 percent; and painting works at 0.6 percent.

However, PSA said, a higher annual gain of 1.5 percent was observed in the index of sand and gravel during the month.

The 2012- based CMWPI covers 101 items in the market basket. It includes selected construction materials identified from the different lateral and vertical construction projects in 2012, with accompanying bills of materials provided by the Department of Public Works and Highways, National Housing Authority and Subdivision and Housing Developers Association.

Construction materials were grouped according to the different categories based on the 2000-based CMWPI market basket and as recommended by the members of the Interagency Committee on Price Statistics on the rebasing of the CMWPI.

The CMWPI is done by the price collectors of the PSA NCR, while the prices of selected construction materials are monitored from the first week to third week of the reference month.

Data are collected from the sample outlets which are chosen according to their popularity; consistency and completeness of stocks; permanency of the outlet; and their geographic location.