Morbi: The Ceramic Powerhouse

By Admin

05 Aug, 2025

Morbi, a once modest town in Gujarat, has rapidly transformed into the global epicenter of ceramic manufacturing. Its journey from a regional player to an international ceramic powerhouse is driven by visionary entrepreneurship, strategic geography, and a robust ecosystem supporting industrial growth.

The Industrial Engine of Morbi

Situated within a 60 km radius, Morbi hosts an astonishing 800–1,000 ceramic factories, employing over 400,000 workers. In 2024 alone, the town generated an impressive ₹39,000 crore in revenue, with ₹17,500 crore stemming from exports. Leading companies like Commander Vitrified Pvt Ltd (under the Creanza brand) alone ship over 400 full container loads monthly, reflecting the region's unmatched production capacity.

Morbi's competitiveness is further powered by affordable raw materials from Rajasthan, subsidized natural gas, and access to major ports like Mundra, Kandla, and Pipavav. Mundra Port, in particular, is the preferred logistics gateway due to its extensive network of Custom House Agents and third-party logistics providers.

Export Performance: Sustaining Global Momentum

India's ceramic tile exports climbed from ₹17,550 crore in 2021 to ₹20,000 crore (USD 2.34 billion) by 2024. Porcelain tiles, which make up 72% of total exports, saw 48% growth in 2023 reaching 423 million sq.m and generating ₹15,200 crore. The United States leads as the top importer (60–70%), followed by Saudi Arabia and the UAE.

Sanitaryware exports also surged to ₹3,375 crore (USD 395 million) in 2023 from ₹2,250 crore in 2020. While India holds an 8% global market share, it competes with heavyweights like China (35%) and emerging exporters from Vietnam and Turkey.

Logistics as a Competitive Enabler

Morbi’s strength lies in its cost-effective logistics. Its proximity to Mundra and Kandla ports allows logistics costs to be 20–25% lower than inland producers. Nearly 1,500 containers depart Morbi daily. Coastal shipping has expanded access to South India, and the Dedicated Freight Corridor (DFC) operational since 2023 has reduced rail transit time by 40%.

Middle East exports now take just 7–10 days, and Europe-bound shipments complete in 18–22 days. However, global freight volatility has driven up logistics costs by 15% since 2022. Around 30% of MSME shipments faced delays in 2023, highlighting infrastructure strain.

To mitigate this, the Gujarat Maritime Board has pledged ₹500 crore (USD 58 million) for port upgrades by 2026. Additionally, a Ceramic Export Facilitation Centre is in the pipeline to slash customs clearance time by 20%.

A Thriving Ancillary and Industrial Ecosystem

Morbi is more than just ceramics. It is home to a rich network of ancillary industries from paper and laminates to clocks and LED manufacturing. This integrated ecosystem ensures efficient packaging, logistics, and design solutions while diversifying employment opportunities and reinforcing the region’s self-sufficiency.

Sustainability and Tech-Led Transformation

Morbi is embracing the future with a tech-savvy and eco-conscious approach. Over 200 ceramic units now use digital inkjet printing for premium large-format slabs (1.2 × 3.6 m), emulating Italian designs. Energy-efficient roller kilns, AI-based control systems, and waste-heat recovery methods have collectively reduced carbon emissions by 20%.

Companies like Varmora and Senisto have adopted low-energy tunnel kilns and slurry recycling, cutting water usage by 30%. Solar energy contributes to 25% of Morbi’s power needs, with targets set at 50% renewable usage by 2027, aligned with the National Clean Air Programme (NCAP) to reduce particulate emissions by 40% by 2025.

Challenges: Rising Costs, Carbon Compliance & Market Pressures

Morbi’s success doesn’t come without obstacles. Natural gas comprising up to 30% of production costs has become 50% costlier since 2021. The EU’s Carbon Border Adjustment Mechanism (CBAM), effective in 2026, threatens ₹2,250 crore worth of exports. Additionally, the US countervailing duty probe may disrupt exports that grew from 19.8 million sq.m in 2021 to 36.6 million in 2023.

Domestically, tile demand is still urban-centric, with rural penetration under 20%. Industry leaders are urging the government to reduce GST from 18% to 12% to expand market reach and affordability.

Vision 2027: Toward a ₹1 Lakh Crore Industry

The future looks bold for Morbi. By 2027, the town targets ₹80,000 crore turnover, with a long-term goal of ₹1 lakh crore (USD 11.7 billion) through the Morbi Ceramic Park a state-of-the-art industrial zone featuring captive power plants, a dry port, and single-window clearances.

Flagship government initiatives like PM Gati Shakti and the PLI Scheme (₹2,000 crore by 2026) aim to accelerate innovation in smart sanitaryware, AI-driven manufacturing, and green energy adoption. Blockchain-enabled digital trade platforms are poised to boost transparency and traceability in global shipments.

According to ICCTAS Chairman Rishi Kajaria, India’s ceramic market share is on course to climb from 8% to 12% by 2030, as global supply chains diversify beyond China.

Conclusion: A Blueprint for Global Manufacturing Hubs

Morbi’s rise is more than a local success story it’s a reflection of India’s evolving Make in India vision. By blending scale, innovation, sustainability, and logistics excellence, Morbi is creating a replicable model for regional clusters worldwide. With continued investment, policy support, and digital transformation, Morbi is well-positioned to lead the next era of global ceramic exports.

As it charges ahead, Morbi doesn't just promise tiles it delivers inspiration, opportunity, and a blueprint for industrial glory.