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Tuesday, 17 March 2026

Morbi's Ceramic Hub Under Fire from Middle East War: Propane Gas Crunch Forces 250+ Factories to Close, Threatening 4 Lakh Jobs – Gujarat's $7 Billion Tile Industry on Brink of Total Shutdown!

Morbi's Ceramic Hub Under Fire from Middle East War: Propane Gas Crunch Forces 250+ Factories to Close, Threatening 4 Lakh Jobs – Gujarat's $7 Billion Tile Industry on Brink of Total Shutdown!
-Friday World March 17, 2026
The Cost of Israel's Friendship: Iran-Israel War Ignites Crisis in Morbi – Over 250 Ceramic Factories Shut Down Due to Propane Gas Shortage, Leaving Lakhs of Workers in Darkness – Direct Impact of Iran-America-Israel Conflict on Gujarat!  

→ Introduction: Global War Hits Local Industry** In mid-March 2026, the world's attention is fixed on the Middle East. The United States and Israel launched large-scale attacks on Iran. In retaliation, Iran imposed restrictions on the Strait of Hormuz – the critical chokepoint through which over 20% of the world's oil and gas shipments pass. Shipping traffic has come to a near standstill. Propane and natural gas imports have faced massive disruptions. The most severe local fallout from this international crisis is now hitting Gujarat's Morbi – India's undisputed ceramic and tiles capital. 

→ Morbi: The Ceramic Powerhouse of India

Morbi is recognized as the world's second-largest ceramic production hub. The town hosts approximately 750-800 ceramic factories. It accounts for over 90% of India's tile and sanitaryware production. The industry's annual turnover runs into billions of rupees. Directly and indirectly, it employs more than 4 lakh workers. The sector is the backbone of Morbi's economy – supporting transport, hotels, shops, banking, and local trade. But today, this vibrant industrial ecosystem stands on the edge of collapse. 

→ Propane Gas Shortage Delivers Heavy Blow
 Ceramic tiles require kilns (bhattis) to be heated to 1200-1400 degrees Celsius for firing. Propane gas and natural gas are the primary fuels used for this process. Propane burns quickly and delivers high heat, making it ideal for industrial kilns. Morbi consumes around 55 lakh cubic meters of propane daily. 
After the Iran conflict escalated, shipments through the Strait of Hormuz halted. Tankers carrying propane and LNG are stuck. Major suppliers like Gujarat Gas and Indian Oil Corporation have curtailed or stopped deliveries. As a result, over 250 factories have already shut down production immediately. Some reports indicate 170-225 units closed earlier, with the number rising daily. Morbi Ceramic Association President Manoj Arvadiya and other leaders have warned that if supplies do not normalize by March 15, the entire industry may face a collective shutdown. 

→ Massive Production and Export Losses

A one-month shutdown could cause losses worth crores of rupees. Exports – which form a significant portion of output – have dropped by more than 25%. Tile prices are expected to rise by up to 15% in the coming months. The industry, valued at around $7 billion nationally, is seeing production fall to just 20% capacity in many cases. Factories dependent on imported propane are the hardest hit, with many unable to operate even partially. 

→ Migration of Workers and Employment Crisis
The closures are hitting workers the hardest. Most laborers in Morbi come from states like Bihar, Uttar Pradesh, Odisha, and Jharkhand. With no work, many are returning to their native villages. Long queues are visible at Morbi railway station for train tickets. Families who lived on-site with food and lodging provided by factories are now facing uncertainty. If the crisis drags on, thousands of skilled and unskilled workers will lose jobs. The ripple effect will hit the entire town – from small vendors to transport operators. 

→ India's Friendship with Israel and Its Price
India maintains strong ties with Israel in defense, technology, and diplomacy. However, the ongoing alignment in the current conflict has contributed to heightened tensions in the Middle East. Iran's blockade of the Strait of Hormuz targets global energy supplies – directly affecting countries like India that rely on these routes. Oil and gas prices have surged. Industrial production has stalled. Morbi's factory owners are asking a painful question: "Why is our friendship costing us so dearly?" The Gujarat government has formed a committee to address the issue. The central government is exploring alternative sources. But the situation remains critical. 

→ What Lies Ahead? If the war does not end soon, Morbi's ceramic industry could remain shut for months. Job losses will mount. Gujarat's economy will suffer a major setback. The crisis teaches a hard lesson: Global politics and wars reach deep into local industries and ordinary people's lives. Workers and industrialists in Morbi now pin their hopes on one thing – early restoration of peace and normal gas supplies. 

→ Call for Collective Action This is the time for government, industry, and society to work together. Morbi's future is tied to Gujarat's and India's industrial growth. The crisis must be resolved quickly – otherwise, the damage could become irreversible. 

Sajjadali Nayani ✍ 
Friday World March 17, 2026