A report has indicated that the cost of building materials has skyrocketed, amounting to over 100 per cent hike in the last 1 year.
The development has led to disruptions in the construction industry, posing significant challenges to large-scale developers and homeowners.
The increment can be attributed to a combination of factors, including disruptions in the supply chain, escalating labour cost and wholesalers raising prices compared to factory rates.
According to a report by Daily Trust, Cement prices surged from ₦4,000 to ₦8,800 per bag, representing a 100 per cent increase.
Blocks, which were selling for ₦250 each, last year, are now between ₦550 and ₦600 depending on the size.
Iron rods, which range from 10mm to 16mm, which cost ₦800,000 per ton in 2023, are now ₦1,600,000 per ton or more, depending on the company.
The cost of paints has also gone up as a big rubber, which hitherto cost between ₦23,000 and ₦25,000, is now between ₦46,000 and ₦50,000.
According to the National Bureau of Statistics, (NBS), Nigeria’s headline inflation rate in September 2024 rose to 32.70 per cent, up from 32.15 per cent in August 2024, marking a 0.55 per cent increase month-on-month.
The NBS added that inflation during the month was propelled by increases in transportation costs and food prices.
As a result of this inflationary pressure, there has been a slowdown in construction activities as developers struggle with the financial implications of soaring materials’ costs.