Patna: The cost of construction in Bihar has risen sharply in March, driven by an increase in the prices of key building materials, prompting many prospective homeowners to delay their plans.
Industry experts say the prices of materials such as cement, steel, tiles, paint and electrical fittings have climbed steadily over the past few weeks, leading to an overall increase of 5% to 6% in project costs.
Manikant, a builder and former chairman of the Bihar chapter of the Builders Association of India, attributed the surge to global factors, including disruptions linked to geopolitical tensions affecting supply chains.
Ajay Gupta, president of the Bihar State Business Association, said several electrical and sanitary manufacturing units in Delhi and Gujarat have halted operations, affecting the availability of essential construction materials.
Tile prices have also increased, with each box costing Rs 50 to Rs 100 more than before, according to Vinod Kumar Pathak, president of the Marble and Granite Business Association. The cost of materials such as marble and tiles for a 1,000 sq ft building now ranges between Rs 140,000 and Rs 150,000.
Traders report that the price of steel rods has risen significantly. Local rebar prices have increased from Rs 50 per kg in February to Rs 55 in March, while branded rebar has climbed to between Rs 67 and Rs 70 per kg. Cement prices have also risen by more than Rs 5 per bag.
Higher diesel prices have contributed to increased costs of gravel and other materials, while paint prices have surged due to rising international petroleum rates.
Civil engineer Anjani Kumar said the construction cost of a 1,000 sq ft house could rise by Rs 80 to Rs 90 per sq ft, given the increased prices of materials. Bathroom fittings, which previously cost between Rs 22,000 and Rs 25,000, are now priced between Rs 25,000 and Rs 28,000.
The rising costs are also affecting labour availability, with some workers, including painters, reportedly returning to their home regions.
Experts warn that if the trend continues, it could further slow down real estate activity and impact both individual homebuilders and the broader construction sector.
