"DSC": the building sector contributes with 9% in the Gross Domestic Product (GDP) of the Emirate of Dubai
Report of the building materials price index in the third quarter of 2011, issued by the Dubai Statistics Center “DSC”, showed that the building sector is a major factor in the national economy, as it is related and has a direct impact on many economic activities, contributing by 9% of GDP in 2010. The index achieves many objectives and benefits of interest to decision-makers and economic policy makers, businessmen and the national accounts developers.
The Center calculates the building materials price index by monitoring the movements of prices of basic input materials in the process of building the main structure, including five sub-categories:
· Cement
· Gravel and sand
· Bricks
· Concrete
· Iron/Steel
When examining the movement of building materials price index in the third quarter of 2011 and comparing the same to the second quarter of 2011, a change in material prices has been monitored at different rates, herein below follows the index movement per category
Cement
In the study of the index, the fall in salt-resistant cement prices was noted to be by 8.93%, the prices of ordinary Portland cement and lime by 2.42% and 7.14% respectively. On the other hand, the rise in white cement and gypsum prices was noted to be by 5.88%, and 4.27% respectively, as per table (1).
Table 1 |average building materials prices / cement category - 2011 second / third quarter
2011 Q2
2011 Q3
Change Rate
Salt-Resistant Cement
14.00
12.75
-8.93
▼
Ordinary Portland Cement
12.61
12.31
-2.42
White Cement
32.11
34.00
5.88
▲
Lime
21.00
19.50
-7.14
Gypsum
13.00
13.56
4.27
Gravel and sand
Rates of gravel and sand group demonstrated a rise in prices of the crushed Conakry gravel (3/16) inches and white sand by 5.28%, by 2.02% respectively, while the following prices decreased: black sand by 3.07%, both the crushed Conakry gravel (3/8) inches and (3/4) inches by equal percentages of 2.38%, by red sand 2.16%, as per table (2).
Table 2 / Average building material prices /gravel and sand category - 2011 second / third quarter
Change rate
Crushed Conakry gravel 3/4 inches
1,050.00
1,025.00
-2.38
Crushed Conakry gravel 3/8 inches
Crushed Conakry gravel 3/16 inches
1,079.17
5.28
White Sand
1,033.33
1,054.17
2.02
Black Sand
950.00
920.83
-3.07
Red Sand
770.83
754.17
-2.16
Bricks
The fall in the brick category prices varied between 1.61% and 7.17%. The fall in all cement brick sizes average prices reached : 6.28% for solid bricks, and 3.80% for hollow bricks, as per table (3).
Table 3/ average building materials prices / brick category – 2011 second / third quarter
Rate of change
Brick
Cement hollow brick (4 cm)
2.04
1.94
-4.90
Cement hollow brick (6 cm)
2.26
2.16
-4.43
Cement hollow brick (8 cm)
2.40
2.35
-2.08
Cement solid brick (4 cm)
3.24
2.98
-8.05
Cement solid brick (6 cm)
3.54
3.22
-9.17
Cement solid brick (8 cm)
3.63
3.58
-1.61
Concrete
Concrete price index has slightly decreased by approx. 1.20%. The ready mix salt-resistance concrete prices have fallen by 1.19% and the ordinary Portland ready mix concrete by 0.55%, as per table (4).
Table 4/ average prices of concrete category materials - 2011 second / third quarter
change Rate
Ordinary Portland Ready Mix Concrete
227.08
225.83
-0.55
Salt resistant ready mix concrete,
233.61
230.83
-1.19
Iron/Steel
Iron/Steel category rates demonstrated a rise in average price of foundation iron raft of 3.76%. However, the average price of round iron/steel rod has fallen by 0.11%, %, as per table table (5).
Table 5/ average building materials prices, iron /steel category - 2011 second / third quarter
Round iron/Steel rod (6-8 mm)
2,819.44
2,818.33
-0.04
Round iron/Steel rod (10-25 mm)
2,823.61
2,818.75
-0.17
floor iron/steel meshes (6 m)
83.64
86.25
3.12
floor iron/steel meshes (7 m)
112.78
116.67
3.45
floor iron meshes (8 m)
143.64
150.42
4.72
Copyright 2013, Dubai Statistics Center - Government of Dubai