The current shortage of cement in the Philippines is likely to delay construction projects, according to Pronove Tai International Consultants.
The property consultants estimated that the lack of cement could be expected to result in a 30 per cent delay in building completions in Metro Manila.
"Our thinking is that the cement shortage will cause impact for the entire year unless government does something about it. That is why we are already ringing the bell," said Monique Pronove, Pronove Tai president and CEO, in a press briefing held at Makati City.
A study conducted by the firm showed that a total of 15 buildings (76,000m2) were completed during the 1Q019, resulting to a YoY increase of 31 per cent. However, demand for office buildings in Metro Manila rose by 39 per cent YoY to 364,000m2 in the 1Q19. Pronove Tai said at least 52 buildings or 1.1Mm2 in Metro Manila must be completed before the end of the year.
To achieve this, the company urged the government to lift the tariffs on cement imports are the real estate requires at least 32Mta of cement for construction of new buildings and other infrastructure. Currently, local suppliers for construction firms can only provide 27Mta, according to the report.
