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Government to import cement

CHENNAI: The Centre has permitted the State Government to import cement in a bid to control its prices, Higher Education Minister K. Ponmudy announced on Friday.

A notification for the procurement was issued on Friday, he said in a statement. A Union Commerce and Industry Ministry communication, sent a few days ago to the State Government, stated that the State could import up to 1.5 lakh tonnes a month. The Tamil Nadu Cements Corporation will import the cement. The Union Government’s approval follows the State Government’s efforts to find a solution to the prices increasing in recent months. (At the all-India level, the prices went up by about 45 per cent between January 2006 and July 2007). About 10 days ago, Chief Minister M. Karunanidhi told at a function organised by the Builders’ Association of India that he had written to Union Minister Kamal Nath to permit the State to import cement.

The official said that as a follow-up to the Chief Minister’s letter, Mr. Ponmudy visited New Delhi and discussed the matter.

During the Budget session of the Assembly in May, Finance Minister K. Anbazhagan said the government was considering import of cement.

Nearly three weeks ago, the Centre announced that the MMTC had been mandated to import cement from those foreign manufacturers. The exemption from the standard mark would be applicable for 150 days from the date of recording of their applications or till the grant of regular licence by the BIS, whichever is earlier. After the extension of the deadline till the end of last month, the Corporation received responses from several companies. The Pattali Makkal Katchi has announced that it will hold State-wide demonstrations on Saturday to highlight the rising prices of cement and demand cement import.

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