Ceramic Industry Hit by Iran War, Job Losses and Reverse Migration Reported

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Ceramics Industry in Gujarat’s Morbi Hit by Fuel Crisis

The ceramics industry in Gujarat’s Morbi has been severely affected by the ongoing fuel crisis. Many factories have shut down, resulting in widespread job losses for workers. Pradeep Kumar, a 29-year-old former factory worker, lost his job on March 15 due to the global fuel shortage caused by the United States and Israel’s attack on Iran.

Kumar, who had worked at a ceramics factory in Morbi for seven years, was among thousands of workers affected by the crisis. The company where he worked relied heavily on propane and natural gas to operate its kilns, which were shut down due to the shortage. Kumar and his family returned to their home in Uttar Pradesh’s Hardoi district after losing their jobs.

The ceramics industry in Morbi is a significant contributor to India’s economy, employing over 400,000 people. The industry produces around 80% of India’s ceramics, including tiles, toilets, bathtubs, and wash basins. However, at least 450 companies have been forced to shut down due to the ongoing standoff on the Strait of Hormuz, a critical lifeline for India’s gas imports.

Industry sources report that many factories in Morbi rely on propane and natural gas to operate their kilns. Propane is supplied by private companies, while natural gas is provided by the state to those with connections. The shortage has disrupted global fuel supplies and raised oil prices.

The closure of factories has impacted 200,000 workers, with over a quarter of them forced to return to their homes in other states. Industry leaders have expressed concerns about the impact on the industry’s production and exports.

Source: Al Jazeera