Morbi, a vibrant industrial hub that produces over 80% of India’s ceramic tiles, has been unusually quiet for the past month or so.
Since the war in Iran started there has not been enough fuel for the kilns used to make the tiles, and whatever is available is too expensive for the factories in Morbi to stay competitive. Most of the natural gas used is imported via the Strait of Hormuz.
The city in Gujarat state has thrived as a major export center due to its proximity to ports on the Arabian Sea, and the ready availability of raw materials locally.
Now some of Morbi’s workers have been forced to find alternative employment while others have returned to their homes in nearby states. Only a small fraction of the workers have been retained to carry out maintenance work in the factories.
“Out of the odd 650 or 700 manufacturing units, only four to five large ones are operational as they can afford to use the more expensive propane gas,” said Hareshbhai Bhadja, one of the partners in the manufacturing unit GC Granito.
However, the recent ceasefire has brought some hope to the city’s manufacturers.
A few factories are beginning to open after supply assurance from the state government’s Gujarat Gas. Whether prices will drop to pre-war levels remains to be seen.
