Industry representatives said the situation had become increasingly difficult due to irregular supply, rising transportation costs and the absence of adequate bulk storage and distribution infrastructure within the state.
Road visuals (Photo:IANS)
A shortage of bitumen and a steep rise in its price have begun to strain road and infrastructure works across Jharkhand, with industry bodies warning that the disruption could delay projects, inflate costs and hit contractors already operating under fixed-rate contracts.
Industry representatives said the situation had become increasingly difficult due to irregular supply, rising transportation costs and the absence of adequate bulk storage and distribution infrastructure within the state.
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FJCCI president Aditya Malhotra said the price of bitumen had risen from around Rs 40,000 per tonne to nearly Rs 54,000 per tonne in recent months, making execution increasingly unviable for many contractors working under previously sanctioned project rates.
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He said Jharkhand remained heavily dependent on supplies from Haldia, while the lack of reliable in-state supply infrastructure had left contractors vulnerable to both shortages and price fluctuations.
At present, Bokaro is the only available container-based supply point in the state, but availability there too has remained inconsistent, forcing many contractors to source material from outside Jharkhand at a higher logistical cost.
Malhotra said the rise in commercial diesel prices had further added to transportation and project expenditure, compounding the pressure on ongoing works.
Builders Association of India (BAI) Jharkhand chapter chairman Raviraj Agrawal said contractors had not been receiving adequate bitumen supplies from the Bokaro depots of public sector oil companies for several months, while dispatches from Haldia had also remained irregular.
He said the shortage had begun to affect road construction activity across the state, with work slowing at several sites due to the unavailability of material during a crucial execution period.
Industry bodies said the impact was being felt most sharply by small and medium contractors, particularly those engaged in road and rural infrastructure works, where margins are already narrow, and project timelines are tightly bound.
They demanded that public sector oil companies such as Indian Oil Corporation Ltd (IOCL), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) set up bulk bitumen depots in Jharkhand to reduce dependence on Haldia and ensure a more stable supply chain.
They also urged the government to create a mechanism for maintaining reserve stock within the state and to address price volatility, warning that unless structural supply issues are resolved, infrastructure execution in Jharkhand could face recurring disruption.
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