Wholesale prices of building materials accelerate in 2021

MANILA, Philippines — Wholesale prices of building materials in Metro Manila surged in 2021 after the country reopened the economy amid the pandemic, the Philippine Statistics Authority (PSA) said.

The latest Construction Materials Wholesale Price Index (CMWPI), which is used as a reference in the costing of government projects, swelled to 3.2 percent in 2021 from the 2020 level of 1.2 percent.

The faster increase of the index for the whole of 2021 was due to the continued returning demand in construction as the government implemented the looser mobility curbs across the capital.

For CMWPI, the index of fuels and lubricants registered the highest increase at 18.1 percent after nine consecutive months of double-digit hikes.

Faster increments were also seen in the indexes of the following commodity groups: reinforcing and structural steel, concrete products and cement, doors, jambs, and steel casement, electrical works, sand and gravel, plywood, galvanized iron sheet, glass products and painting works.

Declines, on the other hand, were recorded in tile works, hardware, lumber, plumbing fixtures and accessories and PVC pipes.

Commodity groups with stable growth include asphalt and equipment rentals.

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