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Iran-US Conflict Devastates Gujarat's Chemical Industry: Gas Prices Soar, Factories Close
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Iran-US Conflict Cripples Gujarat Chemical Industry: Gas Prices Soar, Factories Shut
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CNBC Awaaz
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09-03-2026, 13:28
Iran-US Conflict Cripples Gujarat Chemical Industry: Gas Prices Soar, Factories Shut
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Gujarat's chemical industry, India's hub, heavily relies on natural gas for its thousands of factories.
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Iran-US conflict disrupted gas supply from Gulf countries, causing natural gas prices to surge significantly.
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Adani Total Gas now charges ₹119/SCM for gas consumption beyond 40% of the old price quota (₹57/SCM).
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Many factories reduced production; 15% have already shut down, with more closures feared if the situation persists.
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Rising raw material costs (10-40%) and potential job losses for thousands of contract workers are major concerns.
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