February 29, 2024

Diamond workers are demanding that to the government to give bonus ,so that they can run their livehood, as they have sudden recession in diamond industry.

Basically, amid the Russia-Ukraine war and the global recession, the diamond industries of Surat, the hub of diamond manufacturing, have fallen into recession as the demand for diamond jewelery in China, America, Europe and the Middle East has declined.

In this situation, if the factory does not start even when the schools are opening, then the condition of the families of jewelers will become arisen. So the Diamond Workers Union will make a presentation to the Labor Minister in Gandhinagar today on the issue of small and medium diamond factories in Surat and make him aware of the situation.

Union Vice President said that, we have submitted to the Surat Collector and the Labor Department that the companies and manufacturers should pay the leave salary of the artisans so that some relief can be given. These companies used to keep 7 days vacation for jewelers going home in summer. Instead, a vacation of 15 to 21 days was announced this year.

Further, some manufacturers have announced a month-long vacation. There is a fear among the artisans that this vacation will be extended. The estimate of how serious the recession is comes from the fact that even the company that gives vehicles, jewelery and flats as bonuses to the employees has given an estimate of the market condition by taking a vacation.

Why the sudden downturn in the diamond industry?

Diamond industry insiders say one of the reasons for the sudden slowdown in the diamond industry is Russia’s war with Ukraine. 29% of rough diamonds are produced in Russia. The sale of which has been banned by America, Britain and some countries of the European Union. This decision has badly affected countries like India and Belgium.

The main markets for prepared diamonds and jewelery are in China, America and European countries. Here the demand for diamond jewelery has reduced a lot. Its effect has been seen on India’s exports. India’s Gems and Jewelery Exports in Financial Year 2022 (FY22) to Rs. 1.82 lakh crore in FY23 to Rs. 1.76 lakh crores, due to the Russia-Ukraine war, domestic and industrial gas prices from Russia have increased.

On the other hand, recession deepened as American banks filed for bankruptcy. Surat and Mumbai are flooded with finished diamonds. The lack of demand has affected the diamond factories of Surat, which are running on job work.

The Diamond Workers Union is demanding the resumption of the Ratnadeep scheme for the defunct artisans of the Gujarat government. They are requesting the government to announce a relief package for the artisan class.

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