Lack of construction sand: Businesses call for help

A construction sand storage terminal in Dien Phuoc commune (Dien Ban town) has stopped operating. Photo: CONG TU

Hold on

Located in Que Cuong Industrial Park (Que My Commune, Que Son District), Son Sau Sang Production and Construction Company Limited specializes in producing ready-mixed concrete. The company is a partner of many contractors undertaking key construction projects in Quang Nam . However, Son Sau Sang currently operates only 10 trucks transporting ready-mixed concrete and 4 trucks carrying sand and stone each day. "We are trying to maintain this to pay salaries and insurance for our workers," said Mr. Cao Truong Son, Director of Son Sau Sang Production and Construction Company Limited.

According to Mr. Cao Truong Son, the company has a good relationship with some sand storage yards, so it can buy sand but in "drops". The reason is that the licenses of the sand mines have expired or are about to stop operating. Normally, the company buys sand for 250,000 VND/m3; but now it has increased to 650,000 VND/m3. The price has skyrocketed like that but there is no sand to buy. This situation has not only made most businesses in the same industry miserable, but also construction contractors.

Dai Loc district is often referred to as the “capital” of sand mines and sand storage yards. However, now only Pha Le mine with an exploited capacity of 23,000m3/year remains, but has temporarily stopped operating. Some sand storage yards are “squeezing” the last cubic meters of sand to deliver to traditional partners.

A sand storage yard located upstream of Giao Thuy Bridge (Dai Loc District) is about to stop operating. Photo: CONG TU

Normally, Hiep Hung Concrete Company Limited (Dai An Industrial Park, Ai Nghia Town, Dai Loc District) operates at full capacity 12 fresh concrete tankers, 3 dump trucks to supply construction of civil works, bridges and roads. However, these days, vehicles entering and leaving the factory are sparse.

Talking to us, Mr. Nguyen Van Quang - Director of Hiep Hung Concrete Company Limited said that the reason the company maintains limited production is because there is little sand left in the storage yard, and in a few days, this material will be exhausted. "We will notify customers to stop supplying concrete. This is an unexpected incident because the supply is broken" - Mr. Nguyen Van Quang shared.

Many consequences

According to construction contractors, Quang Nam has a huge sand reserve, with dozens of mines planned. However, in reality, businesses do not have sand to produce and contractors do not have sand to build projects. Another paradox is that the weather is dry season but contractors have to work at a slow pace… due to lack of sand. So how can we promote the volume as committed, how can we have the volume of construction value to disburse public investment capital?

Another paradox is that the construction business community is creating a lot of jobs for workers, contributing significantly to the budget and economic growth, and stabilizing people's lives. If the sand supply is disrupted now, businesses will temporarily stop operating, which will significantly affect the lives and welfare of workers, and overall economic growth.

[ VIDEO ] - Desolate scene at a sand storage yard in Dien Ban:

Another worrying issue is that the program to eliminate temporary and dilapidated houses is entering its final stage. Localities can use sand from streams to build foundations and cast house pillars. However, construction sand and wall sand cannot be used and must meet standards. To do so, they must buy it, but where can they buy it?

Chairman of Dien Ban Town Business Association - Mr. Le Tu Tam said that recently the supply of construction materials has been extremely scarce, leading to a sudden increase in the prices of some materials, seriously affecting the production, construction and efficiency of construction investment projects. Specifically, the price of sand increased to 660,000 - 700,000 VND/m3; the price of K98, K95 roadbed soil and leveling soil increased to 300,000 VND/m3. Enterprises had to buy at sky-high prices but there was nothing to buy.

On May 16, the Dien Ban Town Business Association sent a petition to the Provincial People's Committee and the Quang Nam Provincial Business Association. The Association recommended that the Provincial People's Committee direct local authorities to review, evaluate and find solutions to resolve the situation of scarce construction materials and continuously increasing prices. Direct the Department of Construction and the Department of Finance to organize the determination and announcement of monthly construction material prices to meet the requirements of managing construction investment costs as other localities have done (such as Da Nang City).

Dien Ban Town Business Association also proposed that the Provincial People's Committee direct investors of public investment projects to review and adjust the contents of signed "lump sum contracts" into "contracts with adjusted unit prices" to support construction enterprises. Promote the licensing of legal material exploitation, expand the supply from qualified mines and reduce administrative procedures in exploitation.

Consider licensing soil, rock and sand mines in the three regions of the North, South and the center of Thang Binh - Que Son, without bidding but only paying resource tax. Assign project management boards to determine each bidding package to divide construction materials (like the highways in the southern provinces have been implemented). Only then can the market be stabilized, creating conditions for businesses to recover and develop sustainably.

Mr. Nguyen Van Quang shared that the company spends 500 - 700 million VND/month to pay salaries to employees. Now if the company temporarily stops operations, the income and family life of 50 employees and workers of the company will be severely affected. Mr. Cao Truong Son confided that each day a driver driving a concrete truck will be paid 100,000 VND, 4 trips is 400,000 VND/day. But now, they only operate 1 trip/day.

Source: https://baoquangnam.vn/thieu-cat-xay-dung-doanh-nghiep-keu-cuu-3154992.html