Diamond exports up 15 p.c.

By Our Staff Correspondent

MUMBAI, JAN. 26. The Indian diamond industry scaled new heights in the year 2000 with exports touching $6.826 billion according to the Gem & Jewellery Export Promotion Council (GJEPC). This represents a 14.7 per cent growth over the export performance in 1999 when it stood at $5.95 billion.

The import of rough diamonds totalled $4.58 billion against $4.41 billion. Value addition was $2.04 billion ($1.29 billion) and thus has improved to 44 per cent from 29 per cent. With this, India has once again emerged as the front-ranking manufacturing centre, maintaining its lead over Israel which has reported exports (polished diamonds) of $3.25 billion against $2.9 billion.

India has a 55 per cent market share by value in the global diamond market, 80 per cent in terms of caratage and 90 per cent in terms of pieces.

Indian gems and jewellery exports in 2000 totalled $8.41 billion ($7.33 billion). Gold jewellery exports were $1.15 billion ($1.01 billion) and exports of coloured gemstones $201.4 million ($179.9 million).

Mr. Sanjay Kothari, chairman, GJEPC, said, ``The excellent export performance has surpassed even our highest expectations. This has been entirely due to a combination of the pragmatic liberalisation policies of the government and the persistent efforts of our exporters. Policy changes such as the creation of special economic zones will help boost the export performance further.''

``There are many new challenges before us.'' Mr. Kothari said, adding, ``In the field of diamonds, we have attained a leadership position as the largest manufacturer of cut and polished diamonds and we have now moved towards developing India as an international trading centre in all respects.''

Several foreign diamond companies have already established offices in India for trading in rough and polished diamonds. The council has been working closely with the government to create the requisite business environment, to attract more such companies to the country.

India has been sourcing rough diamonds from Belgium, De Beers (London) and Israel. Now, to further consolidate its leadership position, Indian diamantaires have been seeking opportunities to establish direct trade ties with mining countries and companies. Earlier this year, Indian delegations visited Canada, Russia and Congo. Under the aegis of the recently signed protocol between India and Russia, rough diamonds are purchased from Russia directly.

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