Export of gems and jewelry from Surat’s Particular Financial Zone (SEZ) at Sachin fell by half when it comes to worth within the just-concluded monetary 12 months when in comparison with 2022-23. The merchants blamed this on the autumn in demand on account of the Russia-Ukraine and Israel-Hamas wars, in addition to the crackdown on gold smuggling by the Directorate of Income Intelligence (DRI).
From diamonds, gems and jewelry exports price Rs 26,513.07 crore in 2022-23, the quantity fell to Rs 12,765.44 crore this 12 months. In 2020-21, the exports had been price Rs 16,161.65 crore, among the many general exports price Rs. 17845.55 crore recorded by the SEZ.
The Surat SEZ, with 121 operational models, is the one SEZ for gems and jewelry export other than the diamond bourse. Amongst these, 80 models are into manufacturing of diamonds, gems and jewelry merchandise.
Veteran diamond producer and former Gujarat Area chairman of Gems and Jewelry Export Promotion Council (GJEPC), Dinesh Navadiya, mentioned: “There are a couple of main causes behind the dip in exports of diamond, gems and jewelry. These are the Russia-Ukraine and Israel-Hamas wars, inflation within the US that could be a main client, China struggling to recover from its Covid-19 influence and strict motion taken by DRI and different companies in opposition to companies within the SEZ which can be giving faux export figures whereas promoting items within the home markets.”
Within the final 4 years, the Surat DRI has booked seven models on this connection. In March and April this 12 months, the DRI has lodged 16 circumstances of gold smuggling throughout the nation, together with one in Ahmedabad.
GJEPC (Gujarat Area) Chairman Vijay Mangukiya mentioned, “The rationale behind exports taking place within the diamond, gems and jewelry phase is that there is no such thing as a main demand within the worldwide market. Additionally, the continued wars and the sanctions laid by G7 nations on Russian diamonds have led to dip in exports.”
“The Indian market consumes over 35 per cent of tough diamonds imported from Russian Alrosa diamond firm. As a result of ban on Russian diamonds, there’s scarcity of tough diamonds within the Indian market. Even the costs of lab-grown diamonds have gone down.”
Total, the manufacturing of diamond, gems and jewelry have gone all the way down to 30 per cent, he added. In response to Surat SEZ information, whereas the pharma and chemical phase has seen an increase in exports since 2020-21, exports have dipped within the textile and garment, plastic and rubber in addition to software program and companies segments. The medical gear and machine phase has seen an increase in exports together with the engineering merchandise phase. The export of tobacco merchandise, in the meantime, has dipped.