According to the National Statistics Office's (ONE) housing cost index, the evolution of construction material prices, comparing December 2020 with the same month in 2021, shows that cement is one of the construction inputs with the lowest price increases in that period, at 14%, compared to other materials that even exceed 50%.
SANTO DOMINGO. -The cement industry in the Dominican Republic remains one of the most competitive in recent years, with a retail price in hardware stores 23% lower than the regional average, equivalent to two dollars cheaper per bag, according to a recent study by the consulting firm DASA.
For the analysis, in addition to the local statistics published by the Central Bank, the retail prices in hardware stores in countries such as Colombia, Peru, Panama, Costa Rica, Guatemala, Nicaragua, Trinidad, Puerto Rico, among others, have been taken as a reference, whose prices range between US$8.3 and US$10.1.
The aforementioned analysis indicates that in the country the retail price, in its dollar equivalent today in hardware stores, is the same as the price 10 years ago, in an industry where 70% of its costs are imported, so they are not exempt from the accelerated increases in raw materials worldwide.
On the other hand, if we take into account the increase in the purchasing power of Dominicans in recent years, with the current minimum wage, one can buy almost twice as many bags of cement as could be purchased in 2012, a press release points out.
According to the National Statistics Office's (ONE) housing cost index, the evolution of construction material prices ,comparing December 2020 with the same month in 2021, shows that cement is one of the construction with the lowest price increases in that period, at 14%, compared to other materials that even exceed 50%.
"The importance of having a local cement, whose installed capacity reaches eight million tons, guarantees a stable supply of this product and frees us from the high costs and outflow of foreign currency that importing would entail, and the consequent impact on a sector like construction, which has become the main engine of the economy," he adds.
According to public sources, the total investment by companies in cement amounts to US$1.27 billion, generating significant employment. Furthermore, it is an industry that requires constant annual investment to maintain the optimal levels of production and efficiency demanded by such a sector.
Thanks to this investment, the Dominican Republic has gone from being a net importer of cement to being self-sufficient and exporting up to 20% of its production, the press release concludes.
The main factor that has influenced the good positioning of cement produced in the country, both locally and in other markets, has been offering the consumer a product that meets all possible guarantees in terms of quality.
Source: Diario Libre
