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News Tamil Nadu government proposes limestone mining tax

Tamil Nadu government proposes limestone mining tax

Written by Global Cement staff 13 March 2025
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India: The Tamil Nadu government will impose a mineral-bearing land tax of US$1.82/t on limestone under the Tamil Nadu Mineral Bearing Land Tax Act 2024. This tax, payable in advance on mineral dispatch, is in addition to existing royalty charges. The announcement follows Karnataka’s recent decision to levy US$0.29/t on limestone mined.

The tax will raise production costs for cement producers in the region, particularly affecting Ramco Cements, which has 52% of its clinker capacity in Tamil Nadu, and Dalmia Bharat, which has 23%. Other Indian cement producers are less affected, with UltraTech Cement only holding 4% capacity in the area, and ACC 2%. This could mean that the cost increase is passed on to consumers, raising the price of cement.

Last modified on 19 March 2025
Published in Global Cement News
Tagged under
  • India
  • Tamil Nadu
  • Tax
  • Limestone
  • Mining
  • costs
  • Ramco Cements
  • Dalmia Bharat
  • Price
  • Clinker
  • Asia
  • GCW701
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