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RAPAPORT... While Surat is the global hub for polished diamonds, much of the work depends upon skilled migrant workers but they are preferring to remain in their hometowns. Given this, polishing work is beginning to shift to units that are situated in the Saurashtra region of India -- in cities such as Rajkot, Amreli, Bhavnagar and Junagadh.
Speaking exclusively with Rapaport News, Dinesh Navadia, the president of the Surat Diamond Association (SDA), said, “The diamond polishing industry in Surat prior to 1985 was concentrated in the rural parts of the city. That is how Surat got established as a diamond polishing hub. It was after 1985 that the polishing units were set up within the main city. Cost of living here, until a few years ago, was reasonable but things are getting expensive now in terms of rent and food. The workers who come from outside Surat cannot afford this. With Uniform Wage Structure today, a worker in any of the cities outside Surat would get the same money as he would in Surat. Hence, a lot of polishing units are getting active in places likes Rajkot, Junagadh, Amreli and Bhavnagar.” Navadia is of the opinion that this shift is good news for the industry and by no means does it diminish the importance of Surat as the city will undoubtedly remain the diamond hub of the world.
He explains, “Only the polishing units shall become more active in the cities mentioned above. But the core of activities -- that is sorting rough, cleaning, polishing grading, etc. shall happen in Surat.”
Navadia’s point of view was echoed by Vipul Shah, the chairman of the Gem & Jewellery Export Promotion Council (GJEPC). Shah said, “This is good news that units in the other cities are getting active. This will only help strengthen the industry, as the more it scatters across the country, we shall have more skilled labor being churned out, with employment opportunities being created.” The diamond industry in Saurashtra contributes significantly to the annual turnover of polished diamonds, especially small and near gem-quality diamonds, which is over Rs, 15, 000 crore. Around 80 percent of the diamond units in Saurashtra support the diamantries in Surat.
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