Page 20 - Tropic Magazine Issue 36

TROPIC • CONSTRUCTION

Under strain

BUILDING
High fuel prices are adding to
the woes of the construction
industry, as labour and
materials shortages continue
to bite.

Words: Renee Cluff
Residential building
The COVID-19 pandemic created a perfect “This will increase costs for engineered
storm for the construction industry. wood products (EWP) used in flooring approvals
Already grappling with skills shortages, systems and roof trusses that are
lockdowns and closed borders led to predominantly sourced from those
serious materials shortages, pumping regions,” a spokesperson for Master
prices sky high and causing building Builders Queensland said. “About 40 1,035
delays. This at a time when government per cent of Australia’s EWP is sourced
incentives such as the HomeBuilder and from Russia and alternative sources
Regional Home Building grants saw are presently limited due to the current
demand for new housing surge. high demand worldwide. Importers 578
While the situation has settled somewhat, and suppliers will pass these costs onto
timber and labour shortages are expected building contractors before delivery,
to continue into 2023, coupled with the impacting building contracts already
rising cost of fuel impacting transport in place.” The result of all this turmoil is
costs. The situation in Ukraine has also already being seen. In Cairns, dwelling
dealt the sector a blow, with the Federal approvals have eased significantly from 2020/2021 2021/2022
Government imposing an additional their record levels in the 2020/21 fiscal until March
tariff of 35 per cent on all imports year and as interest rates begin climbing,
from Russia and Belarus. demand is further expected to cool. Source: Cairns Regional Council

BY HEMINGWAY'S BREWERY

11 JUNE

12-10PM

LIVE ENTERTAINERS CREOLE INSPIRED FOOD a SPECIALTY COCKTAILS SIX LOCAL DISTILLERIES

HEMINGWAYSBREWERY.COM. AU

20 • Tropic • Issue 36