Tiles Price Update: Home builders’ silver! Will the prices of tiles be halved after the Iran war stops?

After the announcement of ceasefire between Iran and America in West Asia, the Indian real estate sector and the common people building their houses have heaved a sigh of relief. Due to this severe tension, a huge jump of up to 40 percent was seen in the prices of essential construction materials like tiles, rebar, bricks and paint in the country in the recent past. India’s largest ceramic hub, Morbi in Gujarat, was almost brought to its knees due to the gas crisis. Now that the war has stopped, the biggest question in the minds of common consumers who are building their homes is whether the prices of tiles will come down immediately or will it be beneficial to wait for a while. Let us understand what is the current ground reality of the market.
There was a big crisis in the ceramic hub of Morbi, business worth billions came to a standstill.
International waterways and gas supplies were severely disrupted due to increased tensions in West Asia. This had a direct impact on Morbi in Gujarat, which produces about 80 to 90 percent of the country’s tiles and sanitary ware. Morbi’s entire ceramic industry is dependent on propane and natural gas as fuel, which is imported from Gulf countries.
More than 400 of Morbi’s nearly 600 units were voluntarily shut down by owners for several weeks due to acute gas shortage and skyrocketing gas prices from mid-March 2026. While this recession affected the livelihood of 4 lakh workers and led to their migration, 35-40% of exports to Arab countries also came to a complete halt. Due to the sudden stoppage of the supply chain, the prices of tiles in the domestic market suddenly increased by 40%.
CEO of Somani Ceramics had given a big warning, now there is hope
A few days ago, regarding this big crisis in the market, the Managing Director of Somany Ceramics And a big statement from CEO, Abhishek Somani was revealed. He warned in an interview that due to the ongoing crisis in the Middle East and expensive gas, about 20% of India’s inefficient tile plants, or 1 in every 5, could be on the verge of permanent closure.
However, now after the ceasefire, new hope has arisen that the situation will improve. Preparations have started to call back the workers in the closed factories of Morbi. Entrepreneurs associated with plastic and ceramic industry are resuming production, but they will also take any major decision regarding prices only after closely watching the market and global trend for the next 15 days.
It will take a long time to completely improve the gas supply, the government found a new way
Despite the lifting of the blockade of the Strait of Hormuz, experts believe that it will take at least two to three months for fuel supplies to return to pre-war levels. It is certain to take time to bring oil and gas production to normal levels in countries like Qatar, Saudi Arabia, Iran and Iraq.
Experts say it will take months to safely rescue hundreds of oil tankers stuck in the Persian Gulf, complete the refining process and deliver it to consumers. Additionally, it may take a few years to recoup the damage done to LNG production facilities in countries like Qatar and rebuild depleted global inventories. It is a matter of relief that the Petroleum Ministry of the Government of India has found an alternative way to import gas from 13 other countries while reducing dependence on Gulf countries, thereby creating adequate backup of gas in the domestic market.
What home buyers should do: Wait now or Buy?
If you are thinking of buying tiles for your dream home, you have to take a somewhat practical approach. The ceasefire has completely stopped the path of further increase in prices, but prices will not return to their previous levels overnight.
It will take at least 2 months for the supply chain to fully restore and recover from the slow refining process. Only when the new stock reaches the market in sufficient quantity, there will be a real softening of prices at the dealer and retailer level. According to financial experts, if you have time and the household work can be carried forward, then waiting for 2 to 3 months for bulk purchase of tiles can be the most sensible and economical decision for you.