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Northern B.C. construction companies crunched by supply chain challenges: survey

More than two-thirds of construction businesses in Northern B.C. are taking more time to source materials for projects due to supply chain challenges, according to a recent survey by the ICBA.
construction

More than two-thirds of construction businesses in Northern B.C. are taking more time to source materials for projects due to supply chain challenges, according to a recent survey by the ICBA.

“Supply chain disruption is a significant industry issue that is impacting construction and other markets across B.C., Canada and indeed globally. Contractors in virtually every trade and in every corner of the province are experiencing delays and challenges in getting the supplies they need to complete projects and meet deadlines,” ICBA President Chris Gardner said in a statement on Wednesday. “Manufacturers worldwide are struggling with labour shortages and logistics breakdowns – in the short term, there is no relief in sight. The result in B.C. is rising costs for construction and project delays.”

The ICBA recently surveyed its member companies on supply chain issues, which found 68% of northern construction companies surveyed are experiencing challenges. Of the companies surveyed, 74% reported impacts including project delays, and 53% reported increased prices.

“We’re seeing shortages of everything from fixtures to finishings, and plastics to paint,” Gardner said. “The basic building blocks of construction are very challenging to source – some manufacturers have stopped taking orders because they have no visibility on delivery dates.”

The ICBA says it represents more than 3,500 members and clients in construction and resource development. It reported 74% of businesses in the Lower Mainland and Fraser Valley are also experiencing supply chain challenges, as well as 88% of businesses on Vancouver Island, and 88% of businesses in the Interior and Okanagan.

“Contractors are experiencing delays and challenges on a scale not seen in decades, as they try to get the supplies they need to complete the work they have on the books,” said Gardner. “In an era where housing and construction costs continue to rise seemingly unchecked, supply chain constraints are another key factor putting pressure on affordability in the B.C. market.”


Email Managing Editor Matt Preprost at editor@ahnfsj.ca