Gujarat Contractors’ Association on Wednesday announced that they have received a nod from the government to increase project costs up to a 5% ceiling in accordance with increasing prices of raw materials.
In the wake of surging prices of steel, cement, gravel, bricks and other construction materials, the association members had been lobbying for revision of construction contracts to raise prices.
“We are grateful to the state government for heeding our requests of a hike in construction costs in accordance with surging raw material prices. This will be done in line with prices issued on the RBI bulletin,” said Arvind Patel, association president.
The state government has also accepted the proposal for a standard bidding document to help control construction costs .