Construction material prices worldwide have not begun to fall, despite some announcements to that effect, except for the decline in iron prices. This has been confirmed to us by Dragutin Kamenski, the owner of the largest domestic construction company Kamgrad, and Marko Tadić, a member of the Management Board of Osijek Koteksa.
Kamenski states that only the price of iron has recently fallen from ten kuna per kilogram to eight to 8.5 kuna, and in some places even less. Although not negligible, this is still a slight decline considering that iron has increased from 3.10 kuna to 6.50 kuna over the past two years, and after the Russian aggression against Ukraine, it jumped to ten kuna.
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– I am not sure that the price will continue to fall; in fact, it is very difficult for me to say how it will move further, but it is certain that there will not be a significant decline until the current political situation in the world stabilizes, as well as until supply chains are fully restored to the state they were in before the pandemic. But what prices will be, no one knows – says Kamenski.
One should not rule out price increases
Tadić also mentions the decline in iron prices over the last two months, while everything else continues to rise, particularly highlighting energy costs. Neither Kamenski nor Tadić mention a decline in the prices of other construction materials, nor that prices for materials will begin to fall. Tadić believes that prices will even continue to rise, primarily for energy sources, and since they are an important component in the production of construction materials, one should not exclude further price increases.
