Morbi Ceramic Units Shut Down as West Asia Conflict Disrupts Gas Supply

430 Ceramic Factories Halt Operations Amid Fuel Shortage​

Morbi, March 18 In a significant disruption to India’s ceramic manufacturing sector, around 430 ceramic units in Morbi, Gujarat, have decided to suspend operations for at least three weeks due to a severe gas supply shortage triggered by the ongoing conflict in West Asia.

Gas Crisis Forces Widespread Factory Closures​

Morbi, widely known as the “ceramic city” and the world’s second-largest hub for ceramic tile production, has been facing mounting operational challenges. Out of approximately 670 factories in the region, nearly 450 units have already ceased operations, with several others nearing shutdown as fuel availability continues to tighten.

The ceramic manufacturing process is heavily dependent on propane and natural gas, which are essential for kiln firing and drying activities. The shortage of these fuels has brought production lines to a standstill across the region.

Strait of Hormuz Disruption Impacts Supply Chain​

The gas supply disruption stems from escalating tensions in West Asia, where military conflict involving the United States, Israel, and Iran has led to the closure of the Strait of Hormuz. This critical maritime route is a key channel for energy shipments, and its closure has severely impacted the availability of gas supplies.

Industry Takes Collective Decision to Pause Operations​

According to Manoj Arvadiya, President of the Morbi Ceramic Manufacturing Association, a special meeting was held on Tuesday where owners of around 430 ceramic units collectively decided to shut down operations.

He stated that units dependent on propane gas were the first to halt production as supplies were exhausted. Subsequently, factories relying on natural gas also began shutting down.

Shutdown Period to Last Until Mid-April​

The affected units have agreed to remain closed until approximately April 10 to April 15. During this period, manufacturers plan to undertake maintenance of machinery and facilities, preparing for a restart once gas supplies stabilize.

The voluntary shutdown is expected to last between 20 to 25 days, depending on how quickly the supply situation improves.

Future Dependent on Geopolitical Developments​

The resumption of operations in Morbi’s ceramic industry is closely tied to developments in the West Asia conflict. Restoration of normal gas supply routes will be critical for factories to restart production and stabilize the sector.