The ceramics industry in Morbi has decided to stop production for 15 days owing to overproduction and recession in the market. |
"The recent builder's strike to oppose the surge in cement and steel price has resulted in stocks of finished goods lying unsold in our godowns," Girishbhai Pethapara, president, Gujarat Ceramic Floor Tiles Association, said. |
"The halt in production aims to solve this problem of unsold stock," he added. The builders strike has been called off after cement and steel producers promised to curb prices hikes. |
"We are also facing problems owing to the hike in prices of cement, a basic raw material for our products," Pethapara said. The ceramics industry is also seeking a solution from the state government on problems related to sales tax and excise, he added. |
Gujarat has a highly developed ceramics industry concentrated in the Morbi, Wankaner, Thangadh, Bamanbor, Shapar-Veraval areas in Rajkot district. The industry has a turnover of around Rs 300 crore per annum in the state. |
These areas in the Saurashtra region are rich in red soil (fire clay), which is a raw material for the ceramics industry. In addition, raw materials such as volestonite and feldspar are acquired from mines in Bikaner and Jaipur. |
Ceramic products like glazed tiles, sanitaryware and kitchenware manufactured in Morbi and Thangadh are exported to countries in the Middle East and Africa. |
The ceramics industries earns foreign exchange worth Rs 37.5 crore a year. There are close to 500 units in the ceramics industry in the region. Of these, 200 are engaged in the production of glazed tiles. |