The Indian stock market has reacted sharply to the recent escalation following Pakistan’s actions after Operation Sindoor. On May 8th, India’s defence systems successfully intercepted around eight missiles launched by Pakistan, which were reportedly aimed at military installations in India. Several locations across Jammu & Kashmir, Punjab, and Rajasthan came under attack during the night, heightening tensions and impacting market sentiment
The Global Brokerage Firm CLSA has given a report on Companies that have large exposure in the Jammu & Kashmir, Punjab, Rajasthan, and Gujarat Regions. These regions share a very large border with Pakistan, and Companies with large exposure to these states could be at the forefront.
Here is the List of Major Companies that have large Exposure to Pakistan Bordering States:
Reliance Industries Ltd has established several key industrial hubs in Gujarat, including its world-class refinery with a capacity of 68 million tonnes per annum, large-scale petrochemical units, and advanced new energy complexes. These facilities play a crucial role in strengthening the company’s leadership across the energy and materials sectors.
Adani Ports‘ flagship Mundra Port in Gujarat is a vital piece of infrastructure, contributing 41.7% of the company’s total port capacity and serving as a key gateway for trade and logistics.
NHPC is developing several hydropower projects, with 36% of its total capacity located in the state of Jammu and Kashmir, making the region a significant hub for the company’s operations.
Power Grid operates key substations at Bhuj Pool and across Rajasthan’s renewable energy zones (REZ), and is also developing a $3 billion HVDC (High Voltage Direct Current) transmission line to connect Jammu & Kashmir with the national grid.
Vedanta operates the Cairn oil fields in Rajasthan, a key asset in India’s energy sector. The company also runs a 2-gigawatt power plant in Punjab. This plant is located near the India-Pakistan border.
These are fundamentally very strong companies. However, disturbances in these areas could cause operational disruptions, supply chain pressures, cost impact, employee safety concerns, and hurt investor sentiments. Additionally, project timelines could be delayed, export-import activities through key ports could be affected, and demand in nearby markets might temporarily weaken due to instability.
Written By Abhishek Das
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