Projects and constructions in Da Nang are "thirsty" for construction materials.

Many sand mines have expired, causing a "broken" supply.

Slow progress due to lack of sand

The Management Board of Investment and Construction of Traffic and Agricultural Works in Da Nang said that recently, construction contractors have continuously reported that they cannot purchase enough sand for construction. Sand used for leveling the ground, making cushions and mixing concrete on site is scarce. Sand prices have increased dramatically, while mines in the area have temporarily stopped operations or are only exploiting at a moderate level, with output not enough to meet market demand.

The above situation greatly affects the implementation of public investment projects, private investment projects, as well as construction works of the people; in addition, it also affects the prices of products made from this material, such as commercial concrete.

Mr. Phuong, the owner of a construction company in Da Nang , shared that construction sand is the biggest headache for his company. “We only bid on small construction projects, but we cannot buy sand; or if we can buy it, the price is sky-high, causing the project owner to complain about the cost,” Mr. Phuong said.

In fact, since the end of 2024, in Quang Nam province (old), the shortage of materials for projects and constructions has appeared and lasted until now.

A representative of Nam Thanh Quan Construction Company Limited said that the price of construction sand started to increase from the beginning of 2025, peaking in mid-May. “The high price has caused many difficulties in capital sources for civil works, and contractors like us are also 'disappointed' because of the signed contracts,” the representative of this company shared.

According to Mr. Nguyen Minh Huy, Director of the Management Board of Investment and Construction Projects for Transport and Agricultural Works in Da Nang, the scarcity of construction sand materials and the increase in price have forced many businesses to temporarily stop production and supply of commercial concrete to the market. If this situation continues, it will cause disruptions, affecting the progress and quality of construction works, slowing down the disbursement of investment capital for projects.

In the area, many sand mines have expired, causing a disruption in supply. At Vu Gia River (Dai Loc District), Pha Le sand mine with an annual mining capacity of 23,000 m3 has temporarily stopped operating. Some sand storage yards are "squeezing" the last cubic meters of sand to deliver to partners. Meanwhile, at Thu Bon River, a sand mine will expire this June, with only enough sand to supply a few long-term construction partners.

Because the sand source mainly depends on mines in Dai Loc district and Dien Ban town, but this supply is being interrupted, some businesses have proposed that local authorities speed up planning and licensing procedures for new sand mines to solve the sand source for project construction units.

Mr. Le Tu Tam, Chairman of Dien Ban Town Business Association, said that the price of construction sand has increased to 660,000 - 700,000 VND/m3; the price of K98, K95 roadbed soil and the price of leveling ground has increased to 300,000 VND/m3. The Association has sent a petition to the government and relevant agencies to review, evaluate and find solutions to resolve the situation of construction materials being scarce and continuously increasing in price; at the same time, promoting the licensing of legal exploitation of materials, expanding the supply from qualified mines, reducing administrative procedures...

Actual purchase price is higher than announced price

According to the feedback from investors of construction projects in Da Nang, contractors are having to buy construction stone at a higher price than the announced price (the price provided by the mining unit). Some units cannot even buy directly, but have to go through intermediaries.

Faced with this reality, the Da Nang Department of Construction requires units exploiting and supplying construction stone materials to provide information on stone mining licenses and material sales to construction contractors; review and ensure that the announced price is consistent with the market price, and sell directly to buyers. In cases of selling to contractors at a higher price than the announced price and selling through intermediaries, there must be a report with specific reasons.

At the same time, the Department of Construction of Da Nang requested that construction material suppliers seriously fulfill the obligations of organizations and individuals trading in goods and services as prescribed in Article 9 of the Law on Prices (2023).

Specifically, units shall prepare pricing plans or detailed assessment reports on factors forming prices of goods and services or promptly, accurately and fully provide relevant data and documents as required by competent state agencies to serve pricing or deploy and apply other price management and regulation measures as prescribed by law; comply with pricing documents and price stabilization measures of competent state agencies; declare and post prices of goods and services as prescribed by law...

Units must specifically report the above contents to the Department of Construction of Da Nang. The Department will continue to monitor and coordinate with competent authorities to recommend that competent authorities strictly handle cases of deliberately raising prices, selling at prices not according to the announced price, and inappropriate business activities, affecting the construction progress of construction projects in the area.

Increase inspection and urge mines to be put into operation

For many years, construction projects in Da Nang have mostly used construction sand from neighboring areas, mainly from sand mines in Quang Nam (old). According to Notice No. 82 of the Department of Construction of Quang Nam (before the merger of administrative units) on the announcement of construction material prices in March 2025 and updated prices in the first quarter of 2025 in the province, Notice No. 123 on the announcement of additional construction material prices in the first quarter of 2025 and updated construction material prices for materials with fluctuations received by this agency in April 2025, the price of sand at the Dai An gathering site (Dai Loc district) scooped up on the truck is 190,000 VND/m3.

Meanwhile, through a market price survey and based on reports from investors of public investment projects in Da Nang, the market price for construction sand and plastering sand fluctuates between 650,000 and 800,000 VND/m3. Although the price is high, there is no supply.

It is known that the People's Committee of Quang Nam province (old) has assigned functional departments and branches to check, update and adjust prices so that the announced prices of construction materials are consistent with market prices according to the provisions of Circular No. 01 of the Minister of Construction; coordinate with localities to check and work with mine owners to take measures to rectify and stabilize construction material prices in the area and handle each sand mine specifically.

Specifically, the sand mine in Hoi Khach village (Dai Son commune, Dai Loc district) must complete the conditions and reopen in May 2025. The mine at the old Ben Pha yard (Tan Binh town, Hiep Duc) is required to complete the exploitation conditions before June 15, 2025.

With two mines in Tran Duong group (Tra My town) and village 3 (Tra Giang commune, Bac Tra My), An Phat Tai Company is urged to complete the necessary conditions to put into operation in June 2025. For mines that have mining licenses but are not yet in operation, it is necessary to urgently complete land procedures for exploitation from July 2025.

Of the 34 mining areas (in the former Quang Nam province) that have been auctioned, 8 mines are in the process of licensing. Local authorities require mines in the process to complete their documents for exploitation before September 2025, while the remaining mines must complete the necessary steps to put into operation this year.

The People's Committees of districts and towns are required to organize auctions of mineral exploitation rights according to the approved plan. For mines designated to serve public investment projects, the mine owners must quickly complete procedures to provide materials on schedule. The functional agencies of Da Nang and the authorities at all levels will strengthen inspection and supervision of mining activities, strictly handle acts of auction sabotage or violations of regulations.

Source: https://baodautu.vn/du-an-cong-trinh-tai-da-nang-khat-vat-lieu-xay-dung-d304886.html