Rough way for Surat Diamond Manufacturing

Until freshly, the Surat diamond industry was faced with a problem of rising rough diamond prices and shrinking workers.

Now, with the order for polished diamonds in the global market having drooping, the industry is fixed in a different disaster situation: while there are no takers for polished diamonds, the rough diamonds supplied to the industry have piled up and is meeting dust. For the first time in the past several years, the industry has asked rough diamond suppliers to cut supplies.

Recently, as many as 18,00 smaller diamond units have downed shutters. At the same time, the decreased demand for polished diamonds will force as many as 18,00 more units to shut shop after Diwali vacation, believe industry sources. “The Surat diamond industry supplies 60% of polished diamonds to the US yearly.

This has summary to 30% and there are no buyers for diamonds even during Christmas, when the supply typically goes up. Even the Indian market has twisted away from diamonds. Around 25% of total diamond sale in India happens during Diwali, which is almost tiny this year,” said Surat Diamond Association president C P Vanani.