Builders Association seeks construction minister

Noting that the sector contributes to 19 per cent of the country’s Gross Domestic Product (GDP), BAI President HN Vijaya Raghava Reddy pressed for this demand in view of the industry facing many challenges. As the process of redressal of grievances was getting cumbersome given the need for approvals from multiple govt agencies, he said this was largely hitting the timelines of projects and delivery of property to owners was affected. Appointing a separate minister for overseeing the problems would help immensely, he noted. 

Expressing concern over the soaring price of construction materials such as cement, sand and steel, Reddy sought a mechanism that would regulate the prices. Housing and infrastructure projects to the tune of Rs 90,000 crore were in the offing as part of the Centre’s ambitious projects, with deadline fixed as 2022. But, the country had the capacity to fulfil only 40 per cent of the target, he lamented, as he pointed to the shortage of materials and manpower. 

On the availability of raw materials, he said misconception about sand remained a challenge. States should create awareness on the benefits of Manufactured Sand (M Sand) compared to river sand. BAI representatives said M-Sand is priced at Rs 40 to Rs 60 per cubic feet, whereas plastering sand and river sand were priced at Rs 60 and Rs 70, respectively. According to them, assumption that river sand is stronger was reason for the demand for river sand. They pointed out that M-Sand is widely used in Bengaluru and is gaining demand in other States as well, they strongly felt that use of M-Sand would also be instrumental in protecting the environment and agriculture. 

The team pressed for simplification of procedures and introducing a single window system for speedy approval of projects. BAI representatives in TN claimed rules governing the construction industry in the State are more rigid compared to neighbouring States.