Nov 2006 Financial News

Ready-mix price drops

Nov 24, 2006

MERE months after Government's green-light for the importation of aggregate, comes word that ready-mix concrete has dropped from $1,200 to $900 per cubic yard.

Energy Minister, Dr Lenny Saith speaking at yesterday's post-Cabinet briefing at Whitehall, Port of Spain said that the measure has reaped good success.

"I've been advised by the chairman of the Construction Committee of Cabinet, Works Minister, Colm Imbert, that in fact, the industry has seen a reduction in the price of ready-mix from $1,200 per cubic yard to $900 per cubic yard to date.

"This seems to suggest that as we increase supply and balance demand, we will see a stabilisation and in some cases a reduction in the price of construction concrete and aggregate."

Saith suggested that additional acreages allotted by the Government would also increase supplies, further balancing demand.

"I indicated that five large blocks were recently allocated, in addition to six blocks of approximately 50 acres.

"And as part of that continuation, the Cabinet has approved an award of some more acreage.

"In respect of the Cumaca Quarry which is a limestone quarry, the bids were evaluated and Cabinet has accepted the recommendation that this quarry be awarded to St Algon's Sand and Gravel Company Limited."

Saith explained that there were four blocks in phase five of Tapana/Valencia and these have been allocated with 32 acres to A St Algon's Sand and Gravel Company, 40 acres to JV Castillo, 54 acres to Hugh and Lee King, 32 acres to Premix Concrete Limited and 32 acres to Lutchmiesingh's Transport Contractors," he said.

Questioned as to whether he had received any report from the Ministry of National Security on illegal quarrying in East Trinidad, Saith answered in the negative.

"The PS (Permanent Secretary at the Energy Ministry) has advised me, last week the Ministry of National Security carried out an operation and were able to at least deal with some of the issues there.

"But I have not had a report on what has happened. I presume that the normal course of events, the way these things are handled is taking place," Saith said.

Asked if it was one check made by National Security forces, he added: "Its one check and under the new laws I assume... that regular checks will be made from now on."

Saith also said that he was unaware whether the Works Ministry had requested of the Energy Ministry, any information on alleged illegal quarrying in Diego Martin, which may have contributed to heavy silting and flooding, experienced after last Friday's showers.


Source:
Roxanne Stapleton
Friday, November 24th 2006
The Trinidad Express

http://www.trinidadexpress.com/index.pl/article_business?id=161056501