Tamil Nadu targets 18.86 MT of cement production: Thennarasu

“With the establishment of a new cement plant with the capacity of 10 MT, the existing cement production capacity will be increased to 17 MT. However, the state has fixed a production target of 18.86 MT and after increasing capacity, the government cement will be sold in open market which will enable to bring price of cement down,” said Thangam Thennarasu, in the Assembly.

The issue was raised by Salem (West) MLA R Arul when he said that cement manufacturers function as a syndicate and fix prices arbitrarily due to which people are affected. Arul urged the state to increase production by four times to ensure that sufficient quantities of cement are available in the open market so that the price of private cement goes down.

Replying to Arul, the Minister said that the price of cement was Rs 420 per bag in January, this year, and it rose to Rs 490 in June. Based on the orders of Chief Minister MK Stalin, a meeting with cement manufacturers was held on June 16 in which the cement manufacturers were asked to lower the price. Following the meeting, the cement price was reduced to Rs 450 per bag which at present, till August 31, is Rs 420 per bag.

The Minister also said that the state has launched a brand ‘Valimai’ cement and once it enters open market the price of cement bags will dip further.