November 20, 2008

Abu Dhabi to launch building materials price index

Arabianbusiness.com reported that Abu Dhabi is planning to launch a price index for building materials in a move aimed at curbing price manipulation as construction costs soar in the UAE.

The Department of Planning and Economy said that the index will include 22 products that make up 90% of basic construction materials.

The department in a statement said that “The building materials' price index will expose traders who manipulate prices in this vital sector amid the current economic boom in Abu Dhabi in particular and the UAE in general.”

It said that “Soaring fuel prices and international high transport cost also contributed in increasing prices of many basic construction material prices.”

The DPE said that some building material prices fluctuated in June, with iron pipe rising by 19% compared to the previous month, spiral iron up by 17% and round bar iron climbing 4%