Russia-Ukraine disaster hits Gujarat diamond trade, this is why
By ANI
SURAT: India’s diamond sharpening hub Surat has misplaced its glamour within the wake of the continued Russia-Ukraine War which has affected the availability chain of tough diamonds.
Dinesh Navadia, Regional Chairman, Gems and Jewellery Export Promotion Council mentioned, “Surat’s diamond industry witnesses an impact amid the Russia-Ukraine conflict. Every month raw material of around 1.75 lakh carat was imported into Surat via Russia. No raw material availability now. Over 30 to 35 per cent of rough diamonds imported from Alrosa directly come to the Indian market at Surat and Mumbai for cutting and polishing.”
Major diamond factories in Surat have lowered the working week from three to 4 days. Several small factories in Surat have been closed in the intervening time.
“Russian rough diamonds are generally smaller, making up 40 per cent of India’s diamond trade by volume and about 30 per cent in value. The war with Ukraine has now affected this 18 billion dollar trade. The stock of Russian raw materials sent to India before the US sanctions are also about to run out,” added Navadia.
The Diamond Workers Union Gujarat’s Surat unit on May 4 despatched a memorandum addressed to Gujarat Chief Minister Bhupendra Patel looking for monetary assist to be given to the diamond staff.
The Russian invasion of Ukraine began on February 24, 2022, and the US imposed sanctions on a number of gadgets exported from Russia round mid-April.
