TN Govt likely to import Cement to curb price rise

Chennai, May 14 (UNI) The Tamil Nadu government was contemplating to import Cement to check its prices, Finance Minister K Anbazhagan told the state assembly today.

Replying to a special mention by Peter Alphonse (Cong) on the sharp rise in cement price, he said in the absence of cement control order, the state government could not control the prices.

However, to regularise the price structure, the state government was considering to hold talks with wholesale dealers and cement manufacturers.

The government was also contemplating to allow the state owned TANCEM to import cement in a bid to check the increasing prices, he said.

Mr Anbazhagan said there could not be two opinions that cement prices have to be controlled but the state had no control. The centre too tried to control the prices by coming out with new taxation proposals, but failed to bring the desired results, he said.

He said the demand exceeding the supply was also one of the reasons for hike in cement prices. Pointing out the recent spurt in infrastructural activities, he said cement production was not in tune with the demand.

Raising the issue, Mr Alphonse said cement manufacturers create an artificial scarcity for cement. Even after the centre restructured the taxation system, the manufacturers refused to reduce the price, he said.

G K Mani (PMK) said construction activities have come to a standstill following rise in prices of cement and middle class people could not take up any construction work.

UNI