With the aim to benefit the lower and middle classes, the Tamil Nadu government has launched its low-cost cement under the brand ‘Amma’. The state government has priced the cement at Rs 190, while the companies will sell a 50-kg bag at Rs 370-385. Tamil Nadu Cement Corporation will be the nodal agency for the scheme.
The scheme, named after the then Chief Minister Jayalalithaa who is popularly called as Amma, will be expanded to other parts of the state soon. The government will procure around two lakh metric tonnes of cement every month from manufacturers and will sell them through 470 stock points owned by municipal corporations, municipalities and panchayat unions.
The state has earlier started low cost canteens, water, salt, pharmacy, fruits and vegetables shops and other schemes under the brand.
A minimum of 50 bags for 100 sq ft building space and a maximum of 750 bags for 1,500 sq ft cement can be bought by submitting state government the approved building plan. For renovation or repairing of a houses, around 10-100 bags would be distributed under the subsidised scheme.
Tamil Nadu’s monthly cement demand is about 17-19 metric tonne of which 4-4.5 lakh metric tonne comes from Andhra Pradesh and Telangana. This is sold at almost Rs 80-100 per bag, at around Rs 370-380 per bag. The Tamil Nadu based companies have also increased their prices in recently.