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Surat: Ahead of the planned strike in the diamond industry, Surat BJP MP Mukesh Dalal raised concerns over the ongoing economic crisis in the sector and urged the govt to explore measures to support both the industry and its workforce. Dalal addressed the issue during zero hour in Parliament on Friday. "The diamond industry in Surat is experiencing its worst-ever phase.
Since it primarily operates as a B2C market, it is highly vulnerable to inflationary pressures," he said. He explained that during the pandemic, the industry, which heavily depends on engagements and weddings, suffered disruptions as events were postponed, and the supply chain collapsed. Just as it was beginning to recover, global conflicts further disrupted the cycle of processing, mining, cutting, polishing, and value addition.
"The industry has once again been hit by a slowdown. Currently, diamond businesses are holding rough and polished stock worth millions, leading to severe distress among artisans. Nearly two lakh workers have already lost their jobs," Dalal stated.
He claimed that diamond exports fell from Rs 1.80 lakh crore in 2022 to Rs 1.43 lakh crore in 2023, with further declines expected this year.
"Changing financial regulations and global financing practices have also impacted the industry. After a surge during the pandemic, diamond prices have now plummeted to multi-year lows. The gems and jewellery sector contributes nearly seven percent to the country's GDP and 15.
71% to India's total merchandise exports," he added. Dalal urged the state govt's high-level committee—comprising three senior ministers and a senior officer—to devise strategies to support the industry and its workforce. Get the latest lifestyle updates on Times of India, along with Navratri Wishes , Eid Messages and quotes !.
