Due to the dollar, several works in the region were affected

2023-10-28 04:40:00

The rise of the blue dollar and uncertainty due to the political context have had a strong impact on construction works in Río Negro. According to reports from the Uocra branch in Roca, most of the national budget road works were paralyzed. In addition, a significant decline in private works is expected in November with increases in materials and salaries.

The Brick production has also been affected and sales dropped almost 70%reported sources from the Arbol Río Negro Association located in Allen, where most of the ovens in the region are concentrated.


State works


Leonardo Pridebailo, deputy secretary of the Uocra branch in Roca, explained that most of the works financed by the Nation are paralyzed.

The jurisdiction of the section is the Alto Valle Centro, which includes Roca, Allen, Cervantes and the northern boundary where there are several oil deposits, up to the border with Casa de Piedra.

The union member specified that the works that have been interrupted are road works that were being carried out in different parts of the province.

“All this stoppage of works is due to the national elections, the budgets are stopped because there are emergencies in other areas, especially the financial one, Unfortunately, the first link of adjustment is public works,” the union member analyzed.

He pointed out that in Río Negro several jobs in Choele Choel, Roca and Barda del Medio were suspended.
In Choele Choel, the city entrances were being remodeled but the work was interrupted in September, Pridebailo explained.

There was also a repaving of Route 151. The works that go from Barda del Medio to passing Catriel were put on hold. “They were combing the asphalt strip and they stopped,” he commented.

In Roca, since the municipality is from the same party as the national government, several investments were being carried out. The union member pointed out that there are works that have been affected by the election context.

One of the jobs he mentioned is the development of the Fiske Menuco neighborhood. Although the municipality reported that the work is progressing at a good pace. There, ditch cordon, soil movement, new drinking water cistern and sewer network are being carried out.

The unionist also highlighted that there are works that They continue to be executed normally, such as the new sewer master plan, which is financed by the Inter-American Development Bank. and executed by the National Water Works and Sanitation Entity.
The works include a sewage pumping station plus a new purification station for these liquids.

On the other hand, he also mentioned to Allen where there are some public works of lower investment that the municipality is carrying out in conjunction with the provincial government.
“They have built some accesses, in the education area they have a kindergarten that is being built. There is also a gas expansion in the Vidriera neighborhood and renovations in plazas, they are active but at a slow pace,” he indicated.

According to the secretary of Uocra, the determining factor is the electoral context that generates a lot of uncertainty.
“The new government will take office on December 10, but in practice The country will only become motorized on February 10. Let’s hope that in January they can apply measures for the economy. Whoever wins, an exchange rate run, a devaluation, is expected,” he analyzed.


Deposits


Pridebailo pointed out that the deposits have recorded significant revenue growth from February to date. However, the “construction works that were on a plateau now we see that they are going to slow down,” he clarified.
The union member indicated that The strong investment by YPF, Oldelval and some operators, especially in the Vaca Muerta oil basin, has been very important for construction activity.

A sharp increase in the price of materials is expected following the elections. Photo Juan Thomes

Private works


The secretary of the Uocra in Roca indicated that Currently, there is no noticeable stoppage of works by private investors since many were able to buy materials and freeze prices.

“Many corralones keep the material deposit current and recognize the price of the materials at which you paid for them and keep it in stock. They would have no problem developing these works,” he said.

Pridebailo explained that normally in Patagonia at the end of August and beginning of September a lot is invested in construction.
However, increases in materials and labor will have an impact in November, he explained.

The salary increases correspond to a trigger clause in October, and a retroactive increase to October 1, Pridebailo detailed.
“Uocra has been increasing the workforce through joint ventures and scales that are updated every two months,” he added.

As a result of these factors, the union leader anticipated that “in November the stoppage in private work between 20% and 30% will be noticed.”


Increases in inputs exceed 30%


This newspaper consulted with corralones in the area who confirmed the increases following the October 22 elections.
Merchants in the construction industry speak of between 20% and 35% on some inputs.
Maximiliano Salazar owns a corralón in Roca and has worked in the sale of materials for seven years.

“The prices that have varied the most are those of materials that are in dollars, everything that is electrical, water accessories, plumbing and home electricity supplies,” explained the owner.
Salazar mentioned that the increases in general were 15% although in some specific products they exceeded 20%.

Regarding cement, the merchant indicated that the price dropped a little but this relates it to speculation by the factory.
“Now the bag is selling for $4,200 and before it was $4,400,” he said.
“Customers come complaining that in large corralones the bag costs $5,500,” he said.

Regarding possible increases, the owner of the corralón said that Everything is going pretty smoothly “for what I expected, although this will depend on the results of the November election.”
Salazar consulted with suppliers who told him that if the trend that occurred in October is repeated, there would not be large increases. But if the opposite happens, “the suppliers told us that they are not going to release supplies for a week, we will have to wait until that date,” he said, resigned.

Abraham Muñoz is the owner of a corralón located on Santa Cruz Street, in the Tiro Federal neighborhood of Roca.
The merchant explained that following the PASO, cement increased four times in 15 days. Also iron, sheets and glues.

He mentioned that the bag of cement went from worth $3,400 to $4,500. However, Muñoz, like Salazar, said that there was a 5% drop in this input.
But this was not repeated in the other materials. “The 110 PVC pipe increased a lot. Before PASO I was paying it at a wholesale price of $3,800, now it is $5,800,” he explained.

For the owner of the corralón the increase following the October elections was close to 35% in some materials. “It has been highlighted and even more so now with the increase in fuel. They sent me a new list and the lime comes with an increase of 13%,” he expressed worriedly.


Brick production is also affected


Brick production in Río Negro has also been greatly affected by the increases in the dollar and many burners are not operating.

Sources of the Río Negro Tree Association located in Allen, where they are concentrated Most ovens in the region explained that compared to last year, sales were down at least 70%.

“There is very little demand for bricks, very little is sold. We are like the winter season when there is no work, very little is sold and activity has not been able to be reactivated,” they explained to this newspaper.

The season starts in August and runs until May. However, at this point there is no indication that production will be activated.

“Compared to last year, it has been very slow, the season started very slowly,” they indicated.
From the Río Negro Tree Association they detailed that a lot is being built with ceramic brick and other materials for dry construction.

The customers who most often buy the brick that is produced in Allen as in other family ovens in the region, they are people from “middle class and below who want to build their house or make extensions,” they noted.

The largest concentration of kilns is in Allen. In the Colonia 12 de Octubre neighborhood there are regarding 60 ovens, sources from the association detailed.
However, currently you don’t usually see many stoves on. “There are not even 10 burners on. Everything is very paralyzed, there is no movement of trucks with firewood or loading bricks, there are very few trucks with sawdust. The only thing that is moving is the raw material, the land,” they noted.

The low demand is related to the “economic turbulence” due to the elections.
“Due to the economic context, people prefer to eat and relegated construction,” the association explained.

Prices have not increased much either, they detailed. “The thousand top quality bricks are at $25 thousand and $30, they have not increased compared to other years,” they concluded.


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