CIAP complained that cement prices have risen by as much as 20 percent with a 40 kilogram bag of cement now selling between P160 to P170 per bag from the previous average price of P140 per bag.
The cost of deformed steel bars, the CIAP said, has also increased to P170 from the previous price of P145.
The CIAP is pessimistic that cement and steel prices will improve soon as fuel and energy costs accounts for a substantial portion of cement production costs.
Local oil companies have increased their pump prices at least three times already this month alone or by an average of P1 per liter.
The closure of one cement firm and the pending shutdown of another cement plant is also beginning to affect cement prices because of a supply shortage.
Federal Builders Inc., formerly Portland Concrete Phils. was ordered closed by the Pasig City Government, while Solid Cement Corp. has announced that it might be forced to stop production following a Department of Trade and Industry (DTI) "cease and desist order."
The DTI issued a preliminary CDO against SCC for its supposedly substandard cement.
The CIAP expressed doubts that with the rising cost of basic construction materials, the industry will be unable to post a strong growth this year.