Sunday, May 12, 2024

Mining mess: Consumers await reduction in sand prices

Date:

Chandigarh, June 11: Even as the government is struggling to ensure a clean and transparent mining business, people await sand at affordable prices.

The controversy pertaining to Congress Minister’s Rana Gurjit Singh alleged involvement in the auction of mines through his former employees and the cancellation of 56 mines have worsened the situation. With only about 90 mines operational so far, the prices are expected to soar further in the ongoing construction season.

mining mess

Otherwise also, the prices were to go high as the quarries were auctioned at much higher prices this year. The price of sand has increased from Rs 14,000 per 800 cubic ft to Rs 19,000 per 800 cubic ft in just two months.

Inquiries by The Tribune found that sand was now available between Rs 15,000 and Rs 25,000 per tipper (900 cubic ft) in different parts of the state depending on the sand quality and distance from the mine.

Simarjit Bains, Lok Insaaf Party MLA, who had opened a morcha against high sand prices last year, said the consumers were paying through the nose. “When we took on illegal mining in mid-2016, the prices were up to Rs 35,000 per tipper. Later, these came down to around Rs 10,000. Now, it’s reversal again. Against every legal vehicle transporting sand at least five illegal are plying.”

Tippers are used by large construction houses or distributors. But for the common man, the rates of sand per tractor-trailer are more relevant. The prevailing rates are Rs 2,000 to Rs 5,000 per tractor-trailer having a capacity of 125 to 200 cubic ft. The prices have gone up by more than 20-30 per cent and even doubled at various places.

In Patiala, good quality sand starts from Rs 3,000 per tractor-trailer. In Ludhiana, the prices are Rs 3,000-Rs 4,000 depending on the quality and size of the vehicle. In Moga, the prices have increased by 15-20 per cent in two months. Rajat Bansal, a local businessman, said he bought a small tractor-trailer of sand for Rs 1,800. It had cost Rs 1,400 to Rs 1,500 a few months ago.
Jaswinder Singh, another Moga resident, said he bought a small truck of sand for Rs 7,000. Its price was Rs 5,500 a few months ago. Amit Kumar, a Muktsar resident, said: “The prices were stable at around Rs 1,500-Rs 2,000 for a year or so, but now these have almost doubled. We were expecting the prices to come down, but it’s exactly the opposite.”
Gursharan Singh, general manager, District Industries Centre, Muktsar, said: “There is no mining of sand and gravel in Muktsar district. We thus don’t have any control on the prices.”
In Pathankot, locals claim that an average capacity truck was available for Rs 4,500 till last year, but the rates have almost doubled now.
“Till two years ago, if somebody wanted to construct a 250 sq yd two-storied house in Patiala and ordered sand and gravel from Pathankot, it cost him just Rs 1.5 lakh for three tippers of gravel and four of sand (including transportation cost). Now, the same will cost him anything between Rs 2.8 lakh and Rs 3 lakh,” claimed a real estate developer.
Meanwhile, a spokesperson of the state Mining Department said the prices were high due to high demand and relatively lower availability of sand. The demand was for 2 crore tonnes of sand annually but the availability is just about 1 crore tonne.

“The prices are market driven. The government cannot control it. An ideal situation will be that against the demand for 2 crore tonnes, the availability is 3 crore tonnes. The government has taken several measures, but it will take some time. Presently, the demand is at its peak. Mining won’t take place for three months during the monsoon. We are looking at October-November period for maximum mining.”

News Source: http://www.tribuneindia.com

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