Surat: Outbreak of novel coronavirus in China is all set to take sheen out of the world’s largest diamond cutting and polishing centre in Surat. Industry experts said polished diamond exports to China, Hong Kong and Vietnam have been hit hard and that the decrease could range between 18 and 20% in the coming months.
Industry sources said Hong Kong, China and Vietnam are the biggest market for polished diamond exports for India. Out of the total exports of polished diamonds from India, about 40% valued at $6 billion are exported to Far East countries.
Majority of diamond offices owned by Gujarati diamantaires are non-operational in Hong Kong as the government has sealed the borders with China due to the outbreak of deadly virus.
According to figures available from Gems and Jewellery Export Promotion Council (GJEPC), gross exports of gems and jewellery to Hong Kong were down by 8.45% at $7.4 billion between April-December 2019 compared to $8 billion during the same period in previous year.
On the other hand, overall exports of polished diamonds between April and December 2019 have decreased by 18% at $14.66 billion compared to $17.86 billion during the same period in the previous year.
Vipul Shah, chief executive officer and managing director of Asian Star Company Limited, told TOI, “China and other countries in Far East are the second largest market for polished diamond exports from India and that the impact of virus on diamond exports will be around 20%. Our sales office in Hong Kong is operational, but we are not getting any customers as the borders have been sealed. We are monitoring the situation and may take a call to shut down the office in a day or two.”
Hitesh Patel, managing director of Dharmanandan Diamonds, said, “Diamond industry is facing problems in Hong Kong and China since a long time. First came the US-China trade war and it was followed by anti-government protests in Hong Kong. Now, it is novel coronavirus. We have called back our staff from Hong Kong office as there is no business. The novel coronavirus is going to hit the diamond industry hard.”
Industry sources said Hong Kong, China and Vietnam are the biggest market for polished diamond exports for India. Out of the total exports of polished diamonds from India, about 40% valued at $6 billion are exported to Far East countries.
Majority of diamond offices owned by Gujarati diamantaires are non-operational in Hong Kong as the government has sealed the borders with China due to the outbreak of deadly virus.
According to figures available from Gems and Jewellery Export Promotion Council (GJEPC), gross exports of gems and jewellery to Hong Kong were down by 8.45% at $7.4 billion between April-December 2019 compared to $8 billion during the same period in previous year.
On the other hand, overall exports of polished diamonds between April and December 2019 have decreased by 18% at $14.66 billion compared to $17.86 billion during the same period in the previous year.
Vipul Shah, chief executive officer and managing director of Asian Star Company Limited, told TOI, “China and other countries in Far East are the second largest market for polished diamond exports from India and that the impact of virus on diamond exports will be around 20%. Our sales office in Hong Kong is operational, but we are not getting any customers as the borders have been sealed. We are monitoring the situation and may take a call to shut down the office in a day or two.”
Hitesh Patel, managing director of Dharmanandan Diamonds, said, “Diamond industry is facing problems in Hong Kong and China since a long time. First came the US-China trade war and it was followed by anti-government protests in Hong Kong. Now, it is novel coronavirus. We have called back our staff from Hong Kong office as there is no business. The novel coronavirus is going to hit the diamond industry hard.”
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