Road contractors urge Centre to cap bitumen prices amid sharp rise in input costs
मुख्य बातें
- •Bitumen prices have surged nearly 30% since January 2024, rising from ₹4,800 to ₹6,200 per metric tonne.
- •Indian Road Congress (IRC) and Federation of Indian Road Sector Associations (FIRSA) have urged the government to regulate prices.
- •Rising costs threaten project viability, risking delays and cancellations under Bharatmala Pariyojana.
- •Ministry of Road Transport and Highways (MoRTH) is reviewing the issue and considering price stabilization measures.
New Delhi, June 12: The Indian Road Congress (IRC) and several road construction contractors have urged the central government to intervene and regulate soaring bitumen prices, warning that the sharp increase in input costs could derail infrastructure projects and lead to delays across the country.
Bitumen, a key raw material for road construction, has seen a dramatic price hike—nearly 30% since January 2024—due to global supply constraints, rising crude oil prices, and geopolitical tensions affecting imports. According to industry sources, bitumen prices have risen from ₹4,800 per metric tonne in January to over ₹6,200 per metric tonne in June, placing significant financial strain on contractors already operating on thin margins.
In a representation sent to the Ministry of Road Transport and Highways (MoRTH) last week, the IRC and the Federation of Indian Road Sector Associations (FIRSA) highlighted that the price volatility has made project cost estimation nearly impossible, forcing contractors to either absorb losses or renegotiate contracts, which could lead to disputes and legal challenges. “The sudden and steep rise in bitumen prices has created an unsustainable situation,” said a senior official from the IRC. “Without timely intervention, many projects may face delays or even cancellation, impacting employment and infrastructure development.”
