By Matthew Miguel L. Castillo, Researcher
WHOLESALE PRICES of construction materials in Metro Manila rose to a nearly three-year high in July as costs of concrete products surged, the Philippine Statistics Authority (PSA) said on Wednesday.
Preliminary data from the PSA showed that the Construction Materials Wholesale Price Index (CMWPI) grew by 3.5% in July in the National Capital Region (NCR), a turnaround from the 0.3% decline a year ago.
It was faster than the 2.9% growth in June, and the quickest in nearly three years or since the 5.6% increase in August 2023.
Year to date, the growth in the CMWPI averaged 2%, faster than the 0.2% average a year ago. This was lower than the seven-month average headline inflation of 5% in the January-to-July period.
The PSA attributed the overall rise in prices to the faster year-on-year uptick seen in the heavily weighted subindex of concrete products, which rose to 5.2% in July. This was better than the 0.6% decline in July 2025 and the 4.1% growth in the previous month.
“The increase in the prices of construction materials were largely brought about by the adverse effects of war on Iran/the Middle East since Feb. 28, 2026 that led to higher global oil prices and higher US dollar/peso exchange rate that increased importation costs, thereby leading to higher prices of construction materials,” Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in an e-mail.
Jonathan L. Ravelas, a senior adviser at Reyes Tacandong & Co., said the July data showed that construction demand remains resilient.
“As long as infrastructure and property development stay active, wholesale construction material prices are likely to remain under upward pressure,” Mr. Ravelas said in a Viber message.
Faster growth was also seen in the subindices of sand and gravel which quickened to 5.1% from 3.3% in June, cement (1.9% in July from 1.2%), tileworks (2% from 1.9%), doors, jambs, and steel casement (0.5% from 0.3%), painting works (8.6% from 5.3%), and PVC pipes (0.8% from 0.5%).
On the other hand, growth slowed in the subindices of hardware (0.3% from 0.6%), lumber (0.9% from 1.5%), G.I. sheet (0.4% from 0.6%), reinforcing steel (2.2% from 2.3%), electrical works (2% from 2.9%), plumbing fixtures and accessories/waterworks (0.5% from 0.9%), and fuels and lubricants (5.7% from 6.4%).
Steady growth was noted in the subindices of plywood at 0.4%, structural steel at 3.7%, and asphalt at 12.7%.
Prices of machinery and equipment rental remained flat year on year.
The CMWPI is based on 2018 constant prices.
