The amendment does not take away States’ rights over land and minerals or taxes on minerals already collected by them
The move is in line with the MMDR Amendment Bill, 2026, which was passed by both Houses of Parliament on August 13, 2026. The Bill amends the Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act), with the aim of bringing long-term stability to the major minerals sector. The TN govt had notified the Rs 160-per-tonne rate for limestone under the MBLT Act. The MMDR amendment could result in annual savings of around Rs 500–600 crore for five key Tamil Nadu-focused cement players, including Ramco, India Cements, Dalmia and Chettinad, with Ramco Cements emerging as the biggest beneficiary, according to an analysis by Equirus Securities. Cement makers such as Ramco, India Cements, Chettinad and Dalmia have together paid more than ₹500 crore in MBLT in FY26, according to estimates.
“The levy of the tax resulted in an increase in limestone costs of Rs 150 crore in FY26 compared with the previous year,” said a cement maker. With its cessation, all cement makers will benefit, which will help improve their bottom lines,” a top official of a leading cement firm told TOI . This triggered a sharp increase in cement prices across South India. the levy put pressure on manufacturers’ margins and affected their bottom lines While some of the price hikes were subsequently rolled back. “No other state imposed this levy.