President of Wall Tiles Division, Morbi Ceramic Association, Mr Nilesh Jetparia has stated in a public statement that,
responding to the increasing economic pressures on the industry, the
association has decided to the increase tiles
price by 10%-20% from April 01, 2019.
The price
increase comes as the industry’s proactive measure to protect both its
profitability and existence. The tiles price list of the industry has been facing severe challenges, especially
from the policy changes announced by NTG and Rajasthan Government. NTG has
announced that almost 45% of the manufacturers in the Morbi ceramic cluster
will have to shut down operations, citing the usage of coal gasifiers. Although
majority of the said manufacturers had manufacturing practices in line with the
local environmental policies, they have been asked to shift to PNG based
gasifiers. GPCB has enacted the forced shutdown, affecting close to 45%-55% of
the manufacturers from the Morbi ceramic cluster.
Additionally,
Rajasthan government has issued a policy prohibiting the transport of soda and
ash feldspar in chips form, forcing the same in powdered form. The said raw
materials in their chips form were used in manufacturing of vitrified tiles by several players in
the Morbi ceramic cluster. Also, GCC is investigating alleged dumping practices
by the Indian ceramic exporters and may issue a CVD on the same.
In order to
save the industry from witnessing further downfall in profitability, the prices
are being increased. This will also affect the prices of branded products such
as Kajaria Tiles and Johnson Tiles.
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