Surat firms for direct sourcing of roughs from Russia

Surat’s diamond processing industry, which is in a revival phase after nearly a year of acute recession, has started efforts to directly source rough diamonds from Russia, Rohit Mehta, president, Surat Diamond Association said.Surat is considered the hub of the diamond processing trade in India, with more than 4,000 cutting and polishing units, currently employing 200,000 workers.

“We are trying to directly source rough diamonds from Russia as it is almost 25 per cent cheaper that way. Currently, we have to import Russian rough diamonds through Antwerp and Israel and this sourcing process involves many middle men and increases the cost of stones,” said Mehta.

India’s diamond processing industry generates an annual revenue of around Rs 60,000 crore, 80 per cent of which is generated by Surat-based units.

Mehta said that last week he had led a delegation of the association to meet Russian Counsel General Alexander Mantytsky in Mumbai and discussed possibilities in this regard. He said if the Russian government allows direct trade then it will cut down on processors’ cost of sourcing.