The Legislative Assembly of Tamil Nadu has enacted the Tamil Nadu Mineral Bearing Land Tax Act, 2024, with its details published in the official Government Gazette on February 20, 2025. This new legislation imposes a tax on various minerals, including limestone, set at ₹160 per metric tonne.

Impact on Cement Producers

The newly established tax is expected to have significant implications for cement manufacturers in Tamil Nadu. According to a regulatory filing by Dalmia Bharat Limited, the annual financial burden due to this tax could reach approximately ₹130 Crore. The company indicated intentions to transfer this cost to customers, thereby impacting pricing structures in the industry.

Implementation Timeline

The Act is slated to come into effect on a specified date as determined by the Government of Tamil Nadu, although this date has yet to be officially announced.