Chennai: The Tamil Nadu government has placed work orders for nearly 1.28 lakh gold rings, estimated to cost around Rs 220 crore, as it prepares to roll out the Thaimaman (Maternal Uncle) Gold Ring Scheme for babies born in government hospitals.
The scheme was among the poll promises made by the ruling Tamilaga Vettri Kazhagam (TVK) and is scheduled to be formally launched on September 15, coinciding with the birth anniversary of Dravidian leader CN Annadurai.
Children born in state-run hospitals from June 22, the birthday of Chief Minister C Joseph Vijay, will be eligible for the benefit.
Who Will Get Gold Rings Under Tamil Nadu Scheme?
Under the programme, eligible newborns delivered at government hospitals will receive a one-gram, 22-carat gold ring.
For the first four months of the programme, the Tamil Nadu Medical Services Corporation (TNMSC) has placed orders for 1,28,499 rings, collectively weighing approximately 128.5 kg.
The initial procurement is estimated at around Rs 220 crore, although the final amount will depend on prevailing gold prices.
For one year, the government has made a budgetary provision of Rs 755.83 crore to procure a total of 4,41,667 gold rings.
The government says the programme is intended to encourage deliveries at state-run medical facilities and strengthen public confidence in government healthcare services.
Joyalukkas, Kalyan Jewellers Get Work Orders
TNMSC has divided the initial order between Joyalukkas and Kalyan Jewellers in a 70:30 ratio.
Joyalukkas will supply 89,949 rings, accounting for 70 per cent of the order, while Kalyan Jewellers will provide the remaining 38,550 rings.
Eleven companies had participated in the tender floated on July 14.
According to the government, Joyalukkas emerged as the lowest bidder after quoting an additional charge of only Rs 0.01, excluding the actual price of one gram of gold. The amount covers additional expenses such as processing, transportation, insurance and BIS stamping.
After the lowest bid was disclosed to the remaining participants as permitted under the tender process, Kalyan Jewellers agreed to match the same price.
The government will separately pay for the gold according to prevailing market rates.
Why Has The Gold Ring Tender Sparked A Political Row?
The procurement process has also become a political issue in Tamil Nadu, with opposition parties DMK and AIADMK questioning what they described as an unusual tender outcome.
Opposition leaders questioned how the successful bidder could quote just one paisa towards additional charges when other participating firms had reportedly quoted amounts ranging from Rs 410.97 to more than Rs 15,000.
Questions were also raised over the decision to conduct the procurement through TNMSC, with opposition parties arguing that the corporation was primarily established to procure medicines and medical equipment and undertake healthcare-related infrastructure work.
Joyalukkas, meanwhile, described the one-paisa amount as a “symbolic service charge” above the prevailing gold rate.
Tamil Nadu Health Minister Arunraj defended the initiative, maintaining that it is connected with the government’s efforts to increase confidence in public healthcare and encourage childbirth at government medical institutions.
With the first batch now ordered, the government is preparing to begin distribution under the scheme from September 15.
