Takenfrom Today
SANTO DOMINGO.– Faced with rising prices for supplies, women-led micro, small, and medium-sized construction companies (MSMEs) have requested special measures to prevent the sector from stalling, including temporarily reducing taxes on metals and democratizing the allocation of public works projects, both at the central government and municipal levels.
The directors of the Association of Professional Women and Entrepreneurs of Micro, Small and Medium Enterprises in the Construction Sector (Mupymecon) stated that since the start of the covid-19 pandemic, all construction materials have registered increases.
And the situation has worsened as a result of the armed conflict between Russia and Ukraine, and Mupymecon is concerned about the direction the construction sector may take.
In that regard, they are asking the Government to create some incentives or policies to curb the prices of construction materials, which have risen exponentially.
They also advocated for the initiation of a massive program of small construction projects, both housing and other, to revitalize the sector and where there are controls and flexibility, so that the greatest number of professionals involved in this sector can benefit.
“And of course, the women of the association will benefit, more than 80% of whom are unemployed and need to produce in order to practice their professions with dignity, which, as we know, are the ones that carry the heaviest burden on the household economy,” stated Miguelina Dietsch, president of Mupymecon.
Price increases in materials
Dietsch stated that some materials have increased by 100% or even more. He cited the example of concrete blocks, with a 125% increase, from RD$23 to RD$46; sand, which used to cost RD$800, now costs RD$1,600, double the price; and gravel has also increased significantly.
“And sand for plastering is a luxury, and if you find it, you have to pay whatever they're asking because the market doesn't have it right now. With mined sand, there are now more environmental controls, and only those who have it on their land can use it. And in the market, we only have the option of a small bag of mix that doesn't even cover a meter but costs almost 300 rubles,” Dietsch said while participating in the Economic Meeting along with members of the entity's board.
He stated that the price increase for metals is even worse. “Right now, a simple 8x4 beam that used to cost 11,000 pesos now costs 28,000 pesos. I build industrial buildings. A building that cost 17 million pesos in 2018 now costs more than RD$30 million,” Dietsch indicated.
Meanwhile, Dominica Mojica, the entity's vice president of finance, stated that these price increases have affected them so much that they have lost projects.
Measures in the provinces
The Vice President of Training, Yara Féliz, explained that incentives and measures must be applied to help the construction sector advance because it benefits too many people due to the economic impact it creates.
“We advocate for rapid and strategic planning to create incentives in all provinces. We must find a way to prevent the sector from stagnating and provide opportunities for new projects, such as low-cost housing,” said Féliz.
In addition, Teresita Rodríguez, first vice president of Mupymecon, urged that the concentration of state works in the hands of large companies be broken.
