Kochi: House construction costs have gone up by 10 per cent in Kerala following the steep hike in application fees for building construction, quarry fees and related payments implemented by the state government. These increased rates of fees are reportedly the highest in the country, leading to additional expenses of Rs 400-450 per square feet. This has forced even common people building a house lacking luxuries to spend Rs 2,250-2,500 per sq ft, or around Rs 50 lakh for a 1,500-sq-ft structure.

High material cost
Stakeholders in the construction sector point out that the prices of building materials are more than double in Kerala compared to other states. The cost of stones and sand went up steeply over the last month, mainly due to the increase in quarry fees.

Currently, 200 mm metal (challi’) is priced at Rs 75 in Kerala, Rs 38 in Tamil Nadu and Rs 28 in Karnataka. Similarly, M Sand is sold for Rs 81 in Kerala, Rs 50 in Tamil Nadu and Rs 38 in Karnataka.

A bag of cement too costs over Rs 400 now, compared to Rs 210 during the pandemic.

Apartment prices
The rising construction costs are already reflecting in the prices of flats. Till recently, most builders sold apartments at Rs 4,000-4,500 per sq ft. However, they are now passing on the high cost of materials, registration and fees to customers and are charging up to Rs 6,000 per sq ft.

Unloading charges
At the same time, builders and ordinary folk building houses say that the situation has become worse due to the exorbitant unloading charges demanded by trade union workers.

For instance, the charge to unload a packet comprising two large tiles from a truck is Rs 80. In comparison, the wages paid to workers for fixing the same tiles on the floor or walls is a mere Rs 20. Likewise, the unloading charge for a bag of cement is Rs 14.50.

‘Nokku kooli’
Earlier, long steel bars were brought to construction sites in trailer trucks without bending and were unloaded with cranes. Meanwhile, trade unions collected ‘nokku kooli’ (gawking charges) without doing any work.

But when a ban was imposed on ‘nokku kooli’, the unions objected to the unloading of the bars with cranes. Now, builders bring steel bars in normal trucks after bending them. Trade unions unload the bent bars and collect the charges. However, builders are forced to pay additional amounts to remove the bends and stack the bars.

Builders also say that the prefab technology, which is gaining acceptance in all other states, is not popular in Kerala due to the ‘nokku kooli’ issue. Under the prefab method, several parts of a structure are built at a factory, brought to the site and erected with the help of cranes. There is no other way to build prefab houses. The unions’ opposition to cranes has made prefab technology inconceivable in Kerala, explain the builders.

Incidentally, gawking charges are imposed even on ready-mix concrete in the state which goes up by 10 per cent every year.