The cost of building materials is imperative for determining the profitability and success of construction projects. This paper focuses on the effect of the COVID 19 pandemic on material prices and the availability of material. The input cost of materials and services utilized in construction rose by 27.4% from April 2020 to August 2021. Typically, the material and equipment costs could reach up to 50-60 percent of the construction project cost. Therefore, the increase in material prices and the availability of material pose a significant risk to contractors' ability to bid and execute projects. Prudent contractors must develop a plan to manage and mitigate the risk of material price escalation at the bidding phase, during contract negotiation, and during the built phase of the project. The researcher provides contractors with risk mitigation strategies at each phase of the project to manage and control price volatility.