Crisis Looms for Gujarat's Ceramic Hub Amid Gas Supply Disruption

Around 350 ceramic tile factories in Morbi, Gujarat, are at risk of closing due to a gas supply disruption caused by the US-Israel conflict with Iran. Industry leaders warn of potential shutdowns affecting production and employment. Calls for alternative gas sourcing, such as from Russia, have emerged.

A major crisis is unfolding for Gujarat's ceramic tile industry as gas supply disruptions threaten the operations of around 350 factories in Morbi. The shortage follows geopolitical tensions in the Middle East, affecting the availability of propane or natural gas crucial for these factories' operations.

Industry officials warn that if gas supplies do not resume by mid-March, the sector may face a total shutdown. Morbi, which contributes to over 90% of India's tile production, is heavily reliant on these resources, and only a fraction of the factories have alternative connections through Gujarat Gas.

The situation is dire, with former industry presidents urging government intervention to source gas alternatives, potentially from Russia, to prevent widespread unemployment among the six lakh workers reliant on this sector. The crisis has also led to increased costs from propane suppliers, exacerbating the industry's struggles.

(With inputs from agencies.)