India: GJEPC Calls to Halt Diamond Purchases Until August
India’s Gem and Jewellery Export Promotion Council (GJEPC) and four other industry bodies are calling on industry members “to halt all purchases of diamonds” between July 10-31, Rough & Polished reports.
According to the report, since the country went into coronavirus-related lockdown on March 25, India has been “stuck” with about $7 billion worth of rough and polished diamonds. The organizations believe that the moratorium “will help preserve inventory values and protect the industry”. Currently, industry members are allowed to import between July 1-9, “and can later agree to a voluntary restraint for the rest of the month”. According to the report, “the industry’s self-discipline has helped to reduce the industry’s inventory and manage cash flow at a time when businesses across the world are going through disruptions”.
In the beginning of July, Surat, the world’s largest diamond cutting and polishing center, got to business with a new protocol to fight the spread of COVID-19; sadly, Rough & Polished now reports that “the number of COVID-19 infection has surged of late, leading to shutting down of the manufacturing units”.