Due to the Global recession exports of diamonds to USA from India has dropped by over 30%. Indian diamond exporters are now looking for alternative markets. The Middle East looks promising .Since the onset of 2009, they are the leading importers of polished diamonds from India.
According to Pravin Nanavati, ex president of the Surat Diamond Association, 60% of finished diamond products were exported to the U.S. Usually over 95% of processed diamonds are exported but it had taken a bad hit, that has led to the lay off of over 50% of the labour force.
Chairman of the GJEPC (Gem and Jewellery Export Promotion Council) Vasant Metha stated that they are looking away from the US markets. He also noted that over Rs 50 crore per annum will be budgeted for promotions in the Middle East. The UAE (United Arab Emirates) had imported about 31% of Indian diamonds this year (a 10% increase compared to last year.
The percentage decline in net exports was 18.88% last year and this year so far the decline is as high as 30.72%.