Kannur laterite quarries roll back ₹8 hike after talks; labour shortage keeps units shut
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Kannur: In a relief to households and the construction sector, laterite stone quarry owners have partially rolled back the ₹8 per stone price hike announced on April 20, following talks with political youth organisations.
M P Manoharan, state vice-president of the Chengal Vyavasaya Association (Laterite Stone Traders Association), said the increase has now been scaled down to ₹3.50 per stone -- ₹2.50 towards quarry costs and ₹1 towards transport. “Youth organisations asked us to hold back a steep hike for now. We accepted their argument,” he said after a meeting with representatives of the Youth Congress, Youth League and Yuva Morcha on Monday evening.
With the revised increase, the price of laterite stones in Kannur will rise to around ₹34.50 per piece, against the earlier proposal of ₹39. Prices vary depending on delivery distance, as most quarries are located in the midland regions of Kasaragod and Kannur.
A 1,000 sq ft house requires around 3,000 laterite stones, rising to about 4,000 if foundation work is included.
Even after the rollback, prices in Kannur remain significantly higher than in Kasaragod. For first-quality stones used in house construction, the rate is about ₹30 in Kasaragod, while in Kannur it will now be around ₹34.50 for sites within a 7-km radius of quarries.
Manoharan said the proposed ₹8 hike was driven by rising input costs, including labour and the anticipated increase in fuel prices.
Daily wages in the sector stand at ₹1,350, with workers demanding a hike to ₹1,500. He added that youth organisations urged quarry owners to defer the full increase until fuel prices are revised, which is widely expected after April 29, the final phase of the Assembly elections.
Despite the revised pricing, quarry operations remain largely paralysed. Manoharan said most units have been shut for the past week due to an acute labour shortage, with workers returning to Assam and West Bengal for elections.
“Even if quarries reopen immediately, only about 10% of operations can resume,” he said. Of the roughly 10,000 workers in the sector, only about 2,000 are currently available. Workers are expected to return only after April 29. “They will have to see that work has resumed before they book their return tickets,” he said.
Kannur has around 250 laterite quarries, concentrated in areas such as Payyannur, Taliparamba and Irikkur.
The sector is also facing pressure from the limited availability of mining land and a slowdown in construction activity. A year ago, Kannur produced about 20 lakh laterite stones; output has now dropped to around 5 lakh.
“There is an excess of commercial and residential space, which has slowed construction,” Manoharan said. He added that despite rising costs, prices had not been increased for five years, but another hike may be inevitable after the elections.