State Industries Minister Thangam Thennarasu, on Thursday, said that the state government has set the target of increasing the cement production capacity to 18.86 metric tonnes (MT).
The issue of increase in cement price was brought up in the Assembly 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 government to increase the production of cement 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, Minister said that the price of cement was Rs 420 per bag in January, this year, and it rose to Rs 490 in June following which, based on the orders of Chief Minister M K Stalin, a meeting with cement manufacturers was held on June 16 in which the cement manufacturers were asked to lower the cement 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.
Minister also said that the state government has launched a brand 'Valimai' cement and once the brand enters the open market the price of cement bags will dip further.