Algeria : head of Entrepreneurs Federation calls for government's intervention to curb rise in building materials

The chairman of the national entrepreneurs Federation Abdelmadjid Bennouni has revealed that the price of iron used in the building trade has jumped from 5000 dinars a tonne to 12.000 dinars a tonne over the past few months.

He indicated that owing to this abrupt price hikes in the building materials recorded over the past few weeks on the national market, the price of a new housing unit would increase as a result.

He said that the price now of newly-built flat had increased by 30 million centimes on account of the uncontrollable rise in the prices of building materials including cement, iron and wood.

He therefore called on the government to intervene without further delay to regulate the market with firm measures designed to halt the current price spiral and to put an end to speculation practices which are widespread on the national market.

 It should be noted that the price of iron destined for building purposes has climbed to 840 dollars a tonne this year compared with 320 dollars a tonne in 2003 and 265 dollars a tonne in December 2002.

In local currency, the price of a tonne of iron has reached about 12.000 dinars whereas a tonne of cement has recorded a staggering rise reaching up to 9000 dinars.