DBT Bureau
Pune, 24 April 2026
Gujarat Gas Limited (GGL), the authorized supplier of Piped Natural Gas (PNG) in Morbi, has reaffirmed its commitment to the region’s ceramic industry by ensuring uninterrupted gas supply and price stability amid recent geopolitical disruptions.
Over the years, GGL has developed a comprehensive gas distribution network to meet the full potential demand of the Morbi ceramic cluster. During the recent geopolitical crisis, the company proactively sourced natural gas from non-Middle East markets at spot rates to maintain continuous supply in line with Government of India directives.
The crisis led to a surge in raw material costs, restrictions on industrial propane usage, and increased freight expenses, prompting several ceramic units in Morbi to voluntarily suspend operations starting mid-March 2026 thereby affecting livelihood of more than 2 lakh workers.
In response, GGL’s Geographical Area (GA) and Corporate teams engaged extensively with industry stakeholders, including the Morbi Ceramic Association, to facilitate the restart of operations. Key focus areas included ensuring continuous gas availability, offering competitive and stable pricing, and meeting the required supply volumes.
These efforts have begun to yield positive results. Industrial activity in Morbi has gradually resumed in April 2026, with gas consumption increasing from approximately 0.36 mmscmd (serving around 83 units) as of 31st March, 2026 to approximately 2.70 mmscmd (serving around 290 units) as of 22nd April, 2026.
GGL has addressed key industry concerns related to gas availability, pricing, and supply volumes, and has initiated the execution of gas supply agreements with ceramic units. The number of active gas consumers is expected to increase from the current ~290 (with volumes of ~2.70 mmscmd) to approximately 675–700 units, with total gas consumption projected to reach 6–7 mmscmd in May, 2026.
Leveraging its diversified sourcing strategy, GGL has assured customers of uninterrupted gas supply along with price certainty for the entire month of May, 2026.
This has boosted confidence among manufacturers and is expected to accelerate the revival of production across the cluster.
The resumption of operations is also set to benefit nearly 2 lakhs workers who were impacted by the temporary shutdown of manufacturing units during the crisis.
In addition to supporting industrial production, GGL is facilitating PNG connections for employee canteen facilities within manufacturing units, further strengthening the overall ecosystem.
Gujarat Gas Limited remains committed to supporting the Morbi ceramic industry and is confident of overcoming current challenges while enabling sustainable, longterm growth.
