In order to ease the current shortage of steel bars and billets, the government has been urged to abolish tariffs on the two products, the prices of which have been skyrocketing.

“The proposal will make it easier for the construction industry to obtain cheaper steel bars and feed its current growth and to ensure projects can be completed according to deadline,” said Master Builders Association Malaysia (MBAM) at the Ministry of International Trade and Industry Dialogue 2008 today.

MBAM believes that the suggestion would also help to discipline the local steel industry and perhaps solve the steel shortage problem currently affecting the construction industry.

Meanwhile, the Real Estate and Housing Developers Association Malaysia (REHDA), feels that the authorities should fully liberalise the import of steel bars, rods and wires to counter the shortage of supply for the local property and construction industry.

Although REHDA and related industry players welcome the government’s decision to liberalise the cement market, they do not agree with the 10 per cent import duty imposed, as cement importers are also bogged down with other hefty expenses such as handling and transportation charges.