Contractors call for price adjustment in government tenders

The Bangladesh Association of Construction Industries (BACI) said on Tuesday that government tender prices were to be readjusted in line with rising raw material prices and other costs in international and domestic markets.

“The price of key building materials such as MS rods, stone chips, cement, bricks, grids, etc. fuel will also intensify the misery of contractors,” the former BACI chairman said on Tuesday. , Sheikh Md Rafikul Islam, during a press conference at Dhaka Reporters Unity.

Wages for industrial workers have also increased by 60-70%. Many ongoing government construction projects could come to a halt due to rising costs to contractors, he added.

“Availability of financial assistance from banks is also becoming uncertain as contractors are unable to repay loans on time due to slow progress of projects. As a result, the financial situation of contractors has deteriorated considerably “, did he declare.

The association warned that it will be impossible to implement projects if the abnormal upward trend in prices is not brought under control.

“All government construction is done with a flat rate on tenders. So even if material costs go up, we [contractors] don’t get a price adjustment from the government,” Rafikul Islam added.

“We want price adjustments in accordance with public procurement rules. The price of construction materials was fixed in 2018, which has not yet been updated,” said SM Khorshed Alam, former chairman of the organization.

Association President Shafiqul Haque Talukder said, “Many of our member industries are 30 to 40 years old and are now on the brink of bankruptcy. Hopefully the government will solve our problems soon, because failure to do so will lead to the bankruptcy of entrepreneurs, negatively affecting the socio-economic development of the country”.

Vice President of Bimal organization Chandra Roy, Director Hasan Mahmud Babu, Secretary General of Disabled Persons Entrepreneurs Association of Bangladesh Babul Akhter Babla and others attended the occasion.

Eleanor C. William