nCoV: Surat diamond hub to lose Rs 8k cr

Hong Kong is a hub for the Surat diamond industry, but schools and colleges have been shut there till March first week and even the businesses are seeing a dip in view of the outbreak of the novel coronavirus. As per Gems and Jewellery Export Promotion Council regional chairman Dinesh Navadiya, polished diamonds worth around Rs 50,000 crore are exported from Surat to Hong Kong every year.

“That’s around 37 pc of the total exports from here. Now, due to coronavirus scare, Hong Kong has declared a month-long vacation. Gujarati traders having offices there are coming back to India,” he said. If the situation does not improve, it will have a huge impact on the Surat diamond industry, which polishes 99 per cent of all rough diamonds imported in the country, he said. “The Surat diamond industry is staring at a loss of around Rs 8,000 crore for February and March,” he added.

Another industry expert and diamond merchant Pravin Nanavati said there is a possibility of cancellation of an international jewellery exhibition in Hong Kong, to be held next month, due to the coronavirus scare, which would hit the jewellery business in Surat.

“Polished diamonds and jewellery made in Surat reach across the world via Hong Kong only. Now, due to vacation there, our business is totally closed. Traders are also returning to India,” he said.