Construction materials price growth slows in July

The retail price growth of construction materials in the National Capital Region (NCR) slowed down in July compared to last year's rate, according to the Philippine Statistics Authority (PSA).

In its latest report, the PSA said that the average growth of the construction materials retail price index (CMRPI) in the NCR slowed down to 1.1 percent last month from 1.5 percent in July 2023.

On a monthly basis, it moved up from February's 1.0-percent growth rate.

The PSA said that the primary contributor to the monthly uptrend of the CMRPI in the region was the higher annual increase in the heavily weighted tinsmithing materials index at 1.6 percent from 1.2 percent in the previous month.

In addition, two commodity groups registered annual increases in July as compared with the previous month.

Carpentry materials posted a 0.6-percent growth last month from the 0.2 percent in June and electrical materials at 1.6 percent from 1.4 percent in a month earlier.

Commodity groups that retained their previous month's annual rates include painting materials and related compounds, 1.4 percent; plumbing materials, 0.2 percent; miscellaneous construction materials, 2.1 percent; and masonry materials, 0.2 percent.

On the other hand, the year-on-year growth rate of the construction materials wholesale price index in the NCR inched up to 0.5 percent in July from 0.4 percent a month earlier.

However, this was slower from last year's annual rate registered at 5.7 percent.

During the month, increases in annual growth rates compared to June 2024 were posted in some commodities. Electrical works rose faster at 3.2 percent from 1.5 percent in the previous month.

Faster annual increases were also recorded in the indices of metal products at 1.1 percent from 0.9 percent and plumbing fixtures, and accessories/waterworks at 1.0 percent from 0.9 percent.

Slower annual increases, meanwhile, were observed in the indices of fuels and lubricants to 12.9 percent in July from 14.1 percent in the previous month; PVC pipes to 1.3 percent from 1.4 percent; and painting works to 1.3 percent from 1.7 percent.

Source: Manila Times

NCR construction material retail price growth quickens in April

Retail Price growth of construction materials in the National Capital Region (NCR) accelerated to three-month high in April, the Philippine Statistics Authority (PSA) reported on Friday.

According to preliminary data from the PSA, the construction materials retail price index (CMRPI) in April grew by 1.2%. This was twice faster than the 0.6% growth in March but slower than 2.6% last year.

April CMRPI growth was the quickest or since the 1.4% in January.

NCR’s CMRPI averaged 1.1% for the first four months of the year, lower than the 4.4% average last year.

Security Bank Corp. Chief Economist Robert Dan J. Roces said in a Viber message that the faster growth of retail prices of building materials may have been due to building inflationary pressure in the construction sector.

“Although the growth rate is slower than the previous year, the price increase could indicate improving demand and easing supply chain disruptions as the economy recovers gradually,” Mr. Roces added.

Meanwhile, the PSA attributed the quicker CMRPI growth rate to the faster miscellaneous construction materials index with 0.8% growth, a turnaround from the 1.5% contraction in March.

This was followed by plumbing materials (0.3% from -0.2%); tinsmithry materials (2.6% from 2.4%); painting materials and related compounds (2.2% from 2%); and carpentry materials (0.3% from 0.2%).

Of the seven commodity groups, only masonry materials declined to 0.3% in April from the 0.2% contraction in March, while electrical materials steadied at 0.9%.

Source: Business World

Construction goods’ prices hit 17-month low

The price increase in retail construction materials in Metro Manila slowed to a 17-month low in April, according to latest data from the Philippine Statistics Authority (PSA).

The Construction Materials Retail Price Index in the National Capital Region (NCR) slowed to 2.6 percent in April, the lowest since the 2.3 percent growth posted in November 2021.

“The April 2023 annual growth of CMRPI marked its ninth consecutive month of deceleration. In April 2022, its annual increment was recorded at 6.1 percent,” PSA added.

Compared with the March 2023 annual growth rates, all commodity groups posted slower annual growths during the month.

Among the commodity groups, miscellaneous construction materials primarily influenced the lower annual growth rate of CMRPI during the month, growing a mere 0.2 percent in April 2023 from 6.2 percent in March 2023.

Also a factor in the downtrend was the slowdown in plumbing materials, which grew by 0.7 percent in April 2023 from 2.2 percent in the previous month.

The PSA said commodity groups recorded lower annual growth rates during the month. Carpentry materials grew 2.8 percent, slower than the 3.3 percent recorded in March 2023; while electrical material prices grew 2.2 percent but were also slower than the 2.4 percent posted in March 2023.

Masonry material prices grew 2.5 percent from 3.6 percent in March 2023; painting materials and related compounds, 4.6 percent from 5.6 percent in March 2023; and tinsmithry materials, 4.4 percent from 4.7 percent in March 2023.

Meanwhile, in terms of wholesale construction material prices, PSA said the increase in prices of these materials slowed to 7.4 percent, an eight-month low.

Data showed this was the slowest since August 2022 when wholesale construction material prices grew by 7 percent.

PSA added that a higher annual growth rate was posted in March 2023 at 7.7 percent, while its annual growth rate in April 2022 was recorded at 6.9 percent.

“The main contributor to the lower annual growth rate of CMWPI was the reinforcing and structural steel, which recorded a lower annual growth rate of 6.5 percent in April 2023 from 7.1 percent in March 2023. Moreover, the annual growth rates in the indices of (other) commodity groups exhibited downward trend during the month,” the PSA said.

The data showed wholesale prices of sand and gravel slowed to 4.7 percent from 4.8 percent in March 2023; concrete products and cement, 9 percent from 9.3 percent in March 2023; hardware, 6.8 percent from 7.7 percent in March 2023; and plywood, 4.8 percent from 5 percent in March 2023.

PSA also said wholesale prices of doors, jambs, and steel casement slowed to 5.4 percent from 6.1 percent in March 2023; electrical works, 6.2 percent from 6.6 percent in March 2023; plumbing fixtures and accessories/waterworks, 3.9 percent from 4.1 percent in March 2023; and PVC pipes, 1.3 percent from 1.8 percent in March 2023.

“In addition, the fuels and lubricants index (contracted) 11.9 percent during the month from an annual decline of 8 percent in March 2023,” PSA said.

Meanwhile, higher annual growth rates were reported in the indices of lumber at 7 percent from 6.8 percent in March 2023; tileworks, 1.3 percent from 1 percent in March 2023; and painting works, 13.1 percent from 12.9 percent in March 2023.

The indices of the rest of the commodity groups either retained their respective March 2023 annual growth rate or had zero percent annual rates during the month.

PSA said prices of selected construction materials are monitored on a monthly basis, that is, from the first week to third week of the reference month.

Source: Business Mirror