TIRUCHY/CHENNAI: The Tamil Nadu government on Monday launched its low-cost Amma Cement to cater to the demand of low and middle income families, in Tiruchy. The scheme will be extended to all parts of the State in the next five days.
The State government has fixed the price at `190 a bag, considerably lesser than the `350+ that is being charged in the open market by private manufacturers. If implemented successfully, claim builders, the scheme has the potential to stabilise prices of cement, the fluctuation of which has been a cause of concern in the industry.
Saving about `160 per 50-kg cement bag, the reduced price would help a person, who wants to build a 1,500 sqft house, save as much as `1,20,000 if he/she is to receive the maximum 750 bags.
On Monday, the sales of Amma Cement commenced in five Tamil Nadu Civil Supplies Corporation offices at Mannarpuram in Tiruchy, Musiri, Turaiyur, Irungalur and Adavathur in the district, said a government statement.
Those building houses within a maximum area of 1,500 sqft can avail of the scheme for a maximum of 750 bags of cement, which builders say is enough for a structure of that area. According to a builder in Chennai, the thumb rule is that half a bag of cement is needed for constructing one square foot. Apart from new constructions, a maximum of 10 to 100 low-cost cement bags will be sold for renovation of houses. Eligible customers will have to produce the blueprint of the building plan or a certificate from the village administrative officer or revenue officer or supervisor from the panchayat union or road inspector from panchayat unions at the time of the cement purchase.
A maximum of 400 low-cost cement bags will also be made available at outlets owned by District Supply and Marketing Societies.
Under the scheme, the State government would procure around 2 lakh metric tonnes of cement every month from private manufacturers and sell them through 470 warehouses owned by State-run corporations, municipalities, town panchayats and panchayat unions.