Singapore's Building & Construction Authority expects rise in price of sand

179 words
31 January 2007
AFX Asia
English
(c) 2007, AFX Asia. All rights reserved.

SINGAPORE (XFN-ASIA) - The Building and Construction Authority (BCA) expects the price of sand to rise because of the higher cost of transporting it from distant sources, now that the Indonesian government has banned the export of sand to Singapore, the authority said.

Indonesia was the main supplier of sand for making concrete for construction projects here.

The BCA urged developers to work out cost-sharing agreements with contractors and suppliers of concrete.

The authority said that after discussions with various industry groups and government procurement agencies, the government had decided to release concreting sand from its stockpile from tomorrow to make up for any immediate shortfall in the supply, to stabilize the price and supply for the next few months, and to allow the industry time to make the necessary adjustments.

"Government agencies will take the lead to bear part of the increase in the cost of sand for its existing projects," the BCA said.

(1 usd = 1.53 sgd)

lynette.khoo@xfn.com