Prices of several key construction and agricultural inputs have eased over the past year, led by a notable decline in fertiliser and steel bar rates, while cement prices remained largely stable. At the same time, labour charges across most categories recorded an upward trend, particularly in urban areas, according to official data. According to a report by Dawn News.
Sensitive Price Index figures comparing the week ending January 1, 2026, with the corresponding period last year show that Sona urea prices fell to Rs4,323 per bag from Rs4,540. Other urea brands also registered a decline, dropping to Rs4,212 from Rs4,391 per bag.
Despite lower prices, fertiliser sales strengthened sharply. Urea offtake surged to a record 1.356 million tonnes in December 2025, up 65 per cent month on month and 37 per cent year on year. Total urea sales for calendar year 2025 reached 6.73 million tonnes, reflecting a 2 per cent increase, supported by higher discounts offered by manufacturers and dealers.
Cement prices showed little movement during the period. SPI data places the national average price of a 50kg cement bag at Rs1,407, almost unchanged from a year earlier, even as construction activity improved modestly. Domestic cement sales rose by 13.11 per cent during July to December FY26 to 21.152 million tonnes, compared with 18.7 million tonnes in the same period of the previous fiscal year.
Steel bar prices declined more visibly. Rates that stood between Rs240,000 and Rs270,000 per tonne in January 2025 have eased to around Rs220,000 to Rs230,000 per tonne. Pakistan Association of Large Steel Producers Secretary General Syed Wajid Bukhari said leading brands are currently priced near Rs226,000 per tonne, while some manufacturers are offering bars for as low as Rs215,000 amid weak demand.
Association of Builders and Developers Chairman Hassan Bakhshi said demand for steel and cement remains subdued in regularised high rise projects due to reduced construction activity, though consumption may be relatively better in small to medium sized legal and illegal developments. He added that cement prices have recently increased by about Rs30 per bag due to axle load related issues.
In contrast to easing material costs, labour charges have continued to rise. SPI data shows the national daily average painter wage increased to Rs1,709 from Rs1,676 over the year, while mason rates climbed to Rs1,987 from Rs1,916. Daily plumber charges rose to Rs1,754 from Rs1,734, and electrician charges per point increased to Rs279 from Rs267.
ABAD noted that labour costs vary significantly by region. While wages in rural areas remain comparatively low, rates in major cities are higher. In Karachi, painters providing quality work are now charging between Rs2,500 and Rs3,000 per day, reflecting persistent cost pressures in urban markets.
