Surat Floods Impact Indian Diamond Exports during August

Data released recently by The Gem & Jewellery Export Promotion Council (GJEPC), reveals that there has been an almost 17 Percent decline in U.S. dollar terms in the value of exports of cut and polished diamonds from India during the first four months of the Indian financial year as compared to the same period last year.

Exports during April-August 2006 were $4,179.65 million, compared to $5,030.81 million in 2005. In carat terms, exports declined from 19.42 million carats to 14.04 million carats.

The slowdown reflects both the weak overall market conditions as well as the impact of the floods that brought the Indian diamond manufacturing capital Surat to a virtual halt during a large part of August.

Rough diamonds imported over the same period was $3,239.54 million, down 12.98 percent compared to $3,722.74 million last year. In carat terms rough diamond imports fell from 73.19 million carats to 62.71 million carats.

However, export of gold jewelry showed a 24 percent increase in value, with exports rising from $943.30 million to $1,170.27 million during the period.