NCR construction materials retail price growth inches up in March

RETAIL price growth of construction materials in the National Capital Region (NCR) rose to a three-month high in March, the Philippine Statistics Authority (PSA) reported on Monday.

Citing preliminary data, the PSA said the March construction materials retail price index (CMRPI) rose 1.2%, against 1.1% in February and 0.6% a year earlier.

The March reading was the highest since the 1.5% in December. It matched the pace recorded in January.

In the first quarter, the CMRPI averaged 1.1%, level with the year-earlier pace.

John Paolo R. Rivera, a senior research fellow at the Philippine Institute for Development Studies, said growth was still much slower than in previous years.

“The continued easing of CMRPI reflects softer input costs, which is a welcome development for both consumers and the construction industry. Slower price growth may help support ongoing infrastructure projects and private sector housing demand,” he said in an e-mail.

“However, it also suggests that overall construction activity may still be subdued, especially if demand for materials is lagging.”

The PSA said plumbing materials price growth in March was 0.7% year on year, against 0.4% in February.

Plumbing materials are the second most heavily weighted commodity in the index, accounting for 17.3% of the CMRPI.

Three other commodity groups returned stronger price growth in March, led by electrical materials (1.9% from 1.7% in February), masonry materials (0.4% vs. 0.2%), and tinsmithry materials (1.6% vs. 1.5%).

Three commodity groups reported slower price growths in March: carpentry materials (0.7% from 0.9%), painting materials and related compounds (2.4% from 2.7%) and miscellaneous construction materials (0.3% from 0.4%). — John Phoebus G. Villanueva