Brick prices top 1 million dinars as Iraq’s fuel crisis deepens

The price of a standard unit of first-grade bricks in Iraq has climbed from about 550,000 dinars to roughly 1.1 million in the past three days, according to a brick factory owner. Producers blame the sharp increase on rising fuel prices and shortages that have pushed up factory operating costs.

Manufacturers say the supply crisis could force production lines to stop and drive prices even higher. A representative of the Nahrawan brick factories said the removal of government support for petroleum products had worsened the pressure on producers. Factories previously bought black oil at subsidized prices while still paying taxes and fees.

A specialist in the brick sector said Iraq has about 900 factories across its provinces. Each employs at least 250 workers, in addition to truck drivers, mechanics, technicians and others whose work is tied to the industry. Factories also pay social security contributions, state property rents, taxes and geological survey fees.

Black oil previously supplied to the factories cost 100 dinars per liter. A new decision raised the price to about 490 dinars, sharply increasing production costs. The specialist warned that consumers will ultimately bear the increase, adding to pressure on a construction sector serving a country that needs more housing.

Factory owners say higher fuel costs could lead to mass layoffs and more expensive building materials. They argue that the government should support the domestic industry rather than remove subsidies across the board. To address fuel-related violations, the specialist called for tighter monitoring and electronic systems instead of a blanket withdrawal of support. Owners and their association have also announced preparations for a general strike and a complete halt to production in protest against higher black oil and diesel prices.