What the hell, I may as well weigh in to this clusterfvck of a discussion, too, as I'been buying concrete here for the last 25 years. The quote below is from the KPMG report linked above. The highlighted portion was bolded by me.
Quote:
Concrete was noted as significantly more costly in Saskatchewan than in other major Canadian
jurisdictions. Some general contractors noted that on average, the cost of concrete in urban
centres in Saskatchewan exceeds that of their other Canadian branches by at least 10%. They
noted that concrete costs in Regina can be up to 75% higher than in Toronto, and 25% higher
than in Vancouver. (These figures are based on verbal statements from interviewees, but are
generally consistent with statistical data).
Nearly all interviewees shared the view that concrete is the single highest driver for increased
construction costs among construction materials. They noted that the increase in concrete costs
is a function of limited local supply, and the requirement to transport materials from further
away. In addition, some participants noted that limited competition existed in the concrete
supply industry, as two large companies control the majority of the market, with small start-ups
being quickly acquired.
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While Saskatchewan is far from being out of gravel, it is true that the good gravel deposits near the major cities have been largely utilized and aggregate now needs to be trucked farther to the concrete plants in the cities. For example, the land adjacent to highway 11 immediately north of Saskatoon used to house many gravel pits but those deposits have long since been exhausted and that land has now been reclaimed and is the home of the racetrack and lots of industrial businesses.
It appears that the KPMG report for the SCA is from 2013-2014 and there has been some significant change in the local concrete market since then. Burnco Concrete arrived here a few years ago and the price of concrete has dropped significantly in Saskatoon compared to where it was at the time of the KPMG report. I would say that concrete prices have dropped in the range of 20% in the last 3-4 years. Some of that is likely due to increased competition from Burnco and some is a result of the generally slower construction industry in recent years resulting in reduced margins.
Not sure why Lafarge was being credited with enabling River landing to proceed by them expanding their local operations. While Lafarge did provide the concrete for early portions for River landing due to having the lowest price at the time, the concrete for Nutrien Tower currently under construction is being provided by Inland, as they had the lowest price when the concrete for that project was tendered. Price rules - no magic there.
Don't even know how this Baydo discussion morphed into a concrete debate, but that's my 2 cents on the issue.
BTW, there is some wicked steel construction forming the central core of Baydo's building on Broadway. Well worth a look if you're in the neighbourhood.