Gujarat Gas Limited is leading the revival of the Morbi ceramic cluster by ensuring uninterrupted natural gas supplies and stable pricing. Amid recent geopolitical supply disruptions, the company successfully sourced gas from non-Middle East markets to protect local operations. This proactive strategy has significantly increased daily gas consumption from 0.36 mmscmd in late March to 2.70 mmscmd by April 2026, safeguarding the livelihoods of over 2 lakh workers and stabilizing the local industrial ecosystem.
Resuming Industrial Operations in Morbi
Following a period of voluntary production suspensions in mid-March 2026 due to surging raw material costs and external supply constraints, industrial activity in the Morbi ceramic cluster has seen a strong rebound. Gujarat Gas Limited played a critical role in this recovery by engaging with the Morbi Ceramic Association to ensure gas availability and competitive pricing. These efforts have successfully brought production back online, with active gas-consuming units rising from 83 on March 31, 2026, to 290 as of April 22, 2026.
Strategic Growth and Future Outlook
The company is scaling its support through new gas supply agreements designed to provide long-term predictability. Projections indicate that the number of active units will grow further to reach 675–700 units, with total gas consumption expected to climb to 6–7 mmscmd by May 2026. By leveraging a diversified sourcing strategy, the company has secured price certainty for the entire month of May, significantly boosting manufacturer confidence.
Strengthening the Industrial Ecosystem
Beyond supporting core manufacturing, the initiative extends to improving worker welfare. Gujarat Gas is actively facilitating PNG connections for employee canteens within the manufacturing units. This holistic approach not only stabilizes the ceramic sector but also reinforces the long-term sustainability of the region’s industrial ecosystem, protecting the jobs of nearly 2 lakh workers who were previously impacted by the temporary shutdowns.
Source: BSE
