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Morbi ceramic units halt production

Financial Express Delhi

|

March 19, 2026

SUPPLY BOTTLENECK

- NANDINI OZA

THE WEST ASIA crisis has forced a large-scale production halt in Gujarat’s Morbi ceramic cluster, with over 400 of around 700 units suspending operations till mid-April amid disruptions in propane and natural gas supplies from the Gulf.

The shutdown marks a fresh setback for an industry already grappling with export headwinds.

The Morbi cluster, which accounts for a significant share of India’s ceramic tile output and has an annual turnover of about ₹70,000 crore, relies heavily on imported fuel to run its kilns. Industry executives told FE that units had begun shutting in phases as fuel availability tightened and prices hardened following supply disruptions linked to the conflict.

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