Surat: Diamond exports up, near pre-Covid level

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URAT: There is some good news for diamantaires in Surat. Diamond trading is all set to recover its sparkle lost due to the coronavirus pandemic as demand increases from the US, Europe and China over the last two months.

According to the data published by the Gems and Jewellery Export Promotion Council (GJEPC), the export of polished diamonds from India in August stood at Rs 9,000 crore against Rs 11,000 crore, which is a decline of 20% compared to the same month last year. However, from Rs 3,000 crore exports in April, there has been a steady rise over the past four months.Industry experts stated that the polished diamond exports have recovered due to the increase in the demand from the US, the UK and China. Starting from October, the exports are all set to match the previous year’s figures, believe experts.

Colin Shah, chairman of GJEPC, said, “From $36 million exports in April, the export of gems and jewellery from India has increased to $1.76 billion in August. We have witnessed a steady increase in the orders from several countries, mainly the US, the UK and China. Diamond units are working in full swing and getting back to normalcy.”

Shah added, “The way trade is recovering, we are hopeful to restrict the the downside of export to just over 20-25% at the closure of the fiscal year.”

During the April to August period, the overall gross exports of cut and polished diamonds stood at Rs 30,000 crore, against Rs 46,000 crore during the same period in the previous year.
 

Vice-chairman of GJEPC Vipul Shah told TOI, “The industry is optimistic to match the export numbers of the previous year as the demand for polished diamond and jewellery has rebounded in the key consumer markets around the world. Due to the ban on international flights, small and medium diamantaires are unable to visit South Africa and Belgium to purchase rough diamonds, which is a big constraint. However, we are hopeful that things will fall in line from the next month.”
 

Industry sources said that the third and fourth quarter were looking optimistic with orders coming from USA and the demand picking up in China from September onwards.
 

“There is a 10-15% boost in the orders from US, China and Europe” said Kirti Shah, diamond exporter. “The situation is such that the old inventories of the diamantaires have dried up and the production of diamonds is done at a very slow pace due to rise in the rough diamond prices by almost 15%,” Shah added.
 
 

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Surat: Diamond exports up, near pre-Covid level

TNN | Sep 22, 2020, 04.18 AM IST