Surat, a global hub for diamond manufacturing, is undergoing a significant transformation as it diversifies into jewellery production. This strategic shift comes in response to challenging market conditions and a decline in diamond exports.
Vipul Shah, Chairman of the Gem & Jewellery Export Promotion Council (GJEPC), emphasized the trend, stating, “Many units have gradually started taking up job work in jewellery manufacturing. With demand for jewellery rising both in India and abroad, they are seizing this opportunity. This move is also helping to keep workers employed.”
Currently, around 10% of Surat’s 5,000 diamond manufacturing units have ventured into jewellery production. This transition is seen as a proactive step to adapt to changing market dynamics.
Recent data from the GJEPC reveals a sharp 19% drop in polished diamond exports between April and November 2024. However, the industry has found a silver lining in the growing global demand for gold jewellery. Exports of studded gold jewellery surged by over 14%, while plain gold jewellery exports rose by nearly 2.5% during the same period.
Industry experts view this diversification as a crucial strategy to help Surat’s businesses navigate the downturn in the diamond trade. By tapping into the rising demand for gold jewellery, both domestically and internationally, the city’s manufacturers aim to stabilize their operations and secure long-term growth.
This shift not only reflects the resilience of Surat’s gem and jewellery sector but also highlights its ability to adapt to evolving market trends.
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