Construction work comes to halt across Nawalparasi (West) over rising material costs

By Purushottam Subedi, Nawalparsai(West), April 13: Construction contractors in Nawalparasi (West) have halted development and infrastructure works across the district, citing the sharp rise in construction material prices and the government’s failure to address their demands.

Acting on the call of the Nawalparasi Contractors’ Association, contractors have suspended work on all ongoing projects, both small and large. 

They said the soaring prices of fuel and construction materials have made it impossible to continue work under the existing government-approved rates.

Association President Nabin Gyawali said the contractors were forced to stop work after repeated appeals to the government went unheard.

 “We had demanded the declaration of a construction emergency and price adjustment,” Gyawali said. “As contractors are on the verge of bankruptcy, we were compelled to call back machines and workers from the project sites.”

According to the association, it has demanded that the government resolve the crisis caused by the excessive rise in construction material prices and replace the inappropriate price index used by Nepal Rastra Bank with a payment system based on the actual market price.

Contractor Deepak Bhusal said that price manipulation in the market for cement, steel rods, and bitumen has created an environment where construction work is no longer feasible.

“There is no situation to even unload materials at the site. Bank interest and labor costs are crushing us,” Bhusal complained. “The government awards contracts but ignores the problems when they arise, forcing us to keep our construction equipment idle.”

With construction work suspended, important infrastructure projects, including strategic roads and key local development works, have become uncertain.

According to Krishna Prasad Paudel, Secretary of the association, the rise in fuel prices and the shortage of river-based materials such as stone, gravel, and sand have severely affected the construction of bridges, roads, and buildings across the district.

“There is a huge gap between the real market price and the government-approved rate,” Paudel said. “Continuing work in such a situation means withdrawing from the business. Until the Price Adjustment Guideline-2 is issued, work will not resume.”

The contractors have warned that the protest will continue until their demands are met and said they would announce stronger phased protest programs in the coming days.