The ongoing lockdown in India due to the coronavirus pandemic has completely halted the diamond and jewellery industry.
The lockdown has caused exodus of migrant workers to their home villages, leaving the cities of Mumbai, Delhi and Surat which are well known for the manufacturing of jewellery and also for diamond processing.
The owners of diamond processing factories have appealed to the government to provide relief/bailout as many of the industries would not be able to continue to pay wages for the workers.
Worldwide there are over 10 million workers in the diamond industry ranging from mining, cutting and polishing and sales. There are also many working in the exploration of diamonds and technology providers for the industry.
Petra diamonds and Renard diamonds (Canada) have closed several mines. There are more than 500 workers at the Renard mine. Surat india is home to more than 500000 diamond workers who cut and polish. The entire industry from mum and pop stores to the largest diamond companies remains closed.
Rough diamond prices dropped 15 to 20% prompting miners such as De beers and Alrosa to cut prices.
The Indian diamond industry imports over 20 billion USD of rough diamonds for processing every year. 90 percent of the worlds rough diamonds are cut and polished in India. The lockdown in India would have severe impact in the diamond industry chain.