Among the reasons for such a sharp reductions is the recent US threats against Indian manufacturers over the use of Russian raw materials. In particular, the US authorities have said that they might impose a ban on imports of Indian polished diamonds.
However, local jewelry manufacturers are already suffering – because of the sanctions, they have to work through intermediaries, and the shortage of rough diamonds even forces them to stop production.
About 300,000 workers in Surat, the main diamond processing center, were sent on a 20-day leave without pay. Diamond processing units have reduced work from two to one shift, and 15,000-20,000 workers have lost their jobs. And at least eight diamond workers have died by suicide because of it, The Print says.
India is one of the main buyers of rough diamonds, primarily from Russia, and is the world’s largest center of polished diamond production, with 95% of the world’s polished diamonds being made in this country.