Construction materials have become more expensive in Azerbaijan

In January-February of this year, prices for construction materials in Azerbaijan were 3.5%-5.7% higher compared to the same period last year.

This was told to Report by the chairman of the Azerbaijan Society of Appraisers, Vugar Oruj.

According to him, every year with the arrival of spring, activity in the construction sector increases, which leads to increased demand for building materials and price growth.

"This year in March, due to the large number of non-working days, activity may be somewhat lower compared to the same period last year. However, despite this, the beginning of the construction season, economic growth, and restoration and construction work in the territories liberated from occupation support the revival in the market," he noted.

Vugar Oruj emphasized that the rise in prices for building materials is influenced by the situation in the markets of countries from which goods are supplied, monetary policy, and the balance of supply and demand in the construction sector: "Azerbaijan mainly imports construction materials from Russia. If Russian-Azerbaijani economic relations remain stable, no serious fluctuations in the market are expected. However, any force majeure situation in the region, devaluation, and changes in monetary policy can push prices upward."

According to the expert, overall, a price increase of 10-12% is projected by the end of the construction season. "At the same time, transportation costs are expected to increase by approximately 15-20%. The increase in transportation costs will especially affect the cost of imported building materials," he concluded.