They have drawn the government's attention to the fact that the price hike has created a situation where infrastructure construction work is coming to a standstill.
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Construction entrepreneurs have complained that the construction sector is in serious trouble due to the continuous increase in the prices of fuel and construction materials.
At a press conference in Biratnagar on Sunday, they drew the government's attention, saying that the price hike has created a situation where infrastructure construction work is being halted.
The prices of diesel, petrol, kerosene and other fuels used in the construction sector have been increasing unnaturally in recent times. Along with this, the entrepreneurs say that the prices of construction materials such as cement, rods, ballast, and sand have also been continuously rising.
According to them, this has increased the cost of construction work and created difficulties in completing the work as per the contract. 'The risk of the construction industry collapsing due to price hike and shortage of materials has increased,' said Keshav Gautam, former central vice-president of the Federation of Construction Entrepreneurs.
Construction entrepreneurs have complained that the price adjustment system is not effective in practice. They say that although there is a system to adjust prices according to the Nepal Rastra Bank index, the adjustment cannot be made according to the actual market price, which has further harmed the entrepreneurs.
Businessmen have said that this situation is increasing the risk of not being able to complete work on time, from projects of national pride to small and medium-sized projects.
To solve the problem, businessmen have demanded that the government issue clear guidelines to adjust contract amounts according to the increase in the prices of construction materials and fuel, bring a relief package, and provide concessions in bank guarantees and insurance. Businessmen demand that immediate policy and practical initiatives are needed to prevent the construction sector from falling into further crisis.
