KINGSTON, Jamaica — The Mining and Quarrying Association of Jamaica (MQAJ) is urging construction companies, developers and property owners to brace for likely increases in the cost of key materials, including construction-grade limestone and sand, as operators respond to mounting cost pressures.

President of the association, Sam Millington in a press release on Thursday said the impact is being felt across the value chain.

“Let’s be real, energy is at the centre of everything we do,” Millington said. “When fuel and electricity costs rise at the same time, it affects every stage of production. Operators have been absorbing as much as possible, but there are limits.”

He added that without intervention, the sector risks falling behind more cost-efficient markets.

“Many companies have invested in more efficient equipment and backup energy systems, but without meaningful action to address energy costs, we will lose competitiveness,” Millington added.

Meanwhile, Treasurer James Ince pointed to ongoing recovery challenges following Hurricane Melissa which struck the island last October, particularly for operators in Black River.

“We’re still recovering from Hurricane Melissa, while managing rapidly rising fuel and power costs, which affects all businesses, including all our suppliers,” explained Ince. “It’s been tough; many of the local support systems we usually relied on are either gone or struggling to operate, which has impacted our business and staff.”

The association further emphasised that any anticipated price adjustments are being driven by economic realities, not coordinated action, with rising energy costs, both fuel and electricity, placing sustained strain on production and distribution.

It said heavy processing equipment requires significant power, with some operators already facing monthly electricity bills in the millions, alongside higher fuel costs for hauling and export.

“These pressures come as the industry continues to recover from millions in losses caused by last year’s hurricane, which disrupted operations and damaged infrastructure. Recent data from the Statistical Institute of Jamaica (STATIN) shows the mining and quarrying sector declined by 37.5 per cent, highlighting the scale of the challenge,” the association added.

The association noted that rising port fees have further impacted export competitiveness, with some buyers shifting to lower-cost regions.

Stakeholders across construction and real estate are being encouraged to plan accordingly, as any increases will reflect broader systemic pressures.