Contractors want 35 percent discount in cement prices

Contractors want 35 percent discount in cement prices

Gülistan Alagöz - ISTANBUL
Contractors want 35 percent discount in cement prices


Works have stopped at nearly 60,000 construction sites across Turkey as contractors staged a two-week protest against soaring cement prices.

“More than 40 associations have taken part in the action. Our members have been operating nearly 100,000 construction sites, and works have stopped at about 60,000 of them,” said Tahir Tellioğlu from the Bulding Contractors Confederation (İmkon).

The average price of cement was around 150 liras per ton last year, according to İmkon. But this year it climbed as high as 450 liras ($53.2).

They demand the average cement prices to decrease to between 280 liras and 300 liras per ton, said Tellioğlu.
He also accused local cement producers of reducing production in order to artificially increase prices.

The Turkish Cement Manufacturers’ Association (Türk Çimento) rejects the claim, alleging that price hikes were caused by increases in fuel and electricity prices, which are heavily affected by currency volatilities.

Following a decision by the government last month, cement exports have been subject to permission in Turkey.
Turkey’s official construction cost index (CCI) rose 44.76 percent year on year in July, according to a statement released on Sept. 10.

In July, the (CCI) increased by 2.56 percent compared with previous month, the Turkish Statistical Institute’s (TÜİK) said.

The material sub-index increased by 56.41 percent on an annual basis and by 3.13 percent compared with the previous month.

The labor index increased by 21.01 year on year and 1.06 percent month on month.