PETALING JAYA (June 19): Construction Industry Development Board (CIDB) chief executive officer (CEO) Datuk Ahmad 'Asri Abdul Hamid (pictured) said the proposed 40% hike in cement prices may raise building costs by 7% to 8%, based on simulations run by the board.
He was responding to questions about the impact of higher cement prices, following reports saying property developers had on Sunday (June 16), received notices from cement manufacturers that they would raise their prices by that quantum.
Meanwhile, Works Minister Baru Brian said the potential rise in cement prices was a concern, as it would have an impact on the domestic construction industry.
Speaking to reporters at the signing of a memorandum of understanding (MoU) between UEM Edgenta Bhd, CIDB and the Malaysian Highway Authority (MHA) today, Baru Bian said the ministry has to carefully study the potential rise's effects.
"As the Minister for Works, I am very concerned that this development comes at a time such as this, because it would have an impact upon the growth of the construction industry," Bian said.
When queried on what measures the industry would put in place to mitigate a potential price increase, he said the ministry would discuss the potential impact of the hike with the board and other industry players, to find a solution whether the price hike does happen.
TOP PICKS BY EDGEPROP

The Grand @ Kelana Damansara Suite
Kelana Jaya, Selangor

Eco Botanic
Iskandar Puteri (Nusajaya), Johor

5 STOREY SHOP-OFFICE FOR SALE
Puchong, Selangor

Scenaria (Laman Scenaria Kiara)
Segambut, Kuala Lumpur

The Astaka @ 1 Bukit Senyum
Johor Bahru, Johor

Freehold 2 Storey Landed @ Salak Perdana
Dengkil, Selangor

The Vale Sutera Damansara
Damansara Damai, Selangor

Perdana The Place
Damansara Perdana, Selangor

Horizon Residence (Dwi Mutiara)
Bukit Indah, Johor

Horizon Residence (Dwi Mutiara)
Bukit Indah, Johor
DO MORE WITH EDGEPROP.MY
-
Read newsRead the latest news and in-depth coverage of Malaysian property - what's hot, what's not and more
-
Search listingsFind residential or commercial properties for sale, rental and auction by licensed agents
-
Search new projectsCheck out over 200 new project launches and offers by developers in Klang Valley and other locations
-
Get property market insightsGet your personalized property report (including estimated home value) and find past transacted data
-
Get home design ideasZING.my can help you get started on your renovation project. Find hundreds of design portfolios by professionals in Malaysia
-
Partner with usAre you a real estate agent or home professional? List your properties or portfolio with us for free and get quality leads.