Perhaps the most significant news coming out of the India centre over the last two months is related to happenings in what were at one time perceived as rival centers, i.e., Antwerp and Israel. The first related to the decision of the HRD to open certification facilities in Mumbai, which sparked off a signature campaign among Antwerp-based diamantaires who were opposed to the move. The other was the announcement made by LID Diamonds, one of Israel’s biggest players, regarding plans to relocate their head office in India.

Of course these two are not the only big names which have made, or announced plans to make, moves towards India in the recent past. The HRD step, for example, comes in the wake of an earlier move by the GIA which opened an India education centre in mid-July, while LID, though of course a step ahead of the others, is one among a growing number of non-India based diamantaires who have established various types of presences in India, among the most notable of the latest being Lev Leviev’s LLD Diamonds, though there are many from among the biggest names in the business who could also be mentioned.

For the India centre, of course, what is perhaps more significant is the reported decision of the Canadian mining company Aber Resources to set up an office for direct sale of rough in India from early 2005.

Underlying all these stories of course is the outstanding performance of the India centre, which in terms of figures goes as follows: Exports of polished diamonds, belying fears of a plateauing out, have continued to rise at remarkable rates recording an over 25 per cent growth over the first eleven months of the calendar year to touch US$ 9559.80 mn from a comparable US$ 7451.02 mn during the same period in 2003.

Jewellery exports have brought added cheer, having risen by an astonishing 80 per cent in the first nine months of the Indian financial year, i.e., between April and November. Coloured stone exports too are up 19 per cent in the same period.

During this period manufacturing and trading grinds to a traditional halt during Diwali and continues at a somewhat lower key due to the marriage season that follows. However, there has been a slower than normal resumption of cutting activity this year, with more than a few of the small and medium manufacturers finding it unprofitable to continue with their activity due to large stocks of unsold polished that they would find unprofitable to dispose of at the prevailing prices. Most industry analysts perceive that there is going to be some shake-out, and that the numbers employed in the industry may decline, though not necessarily the volumes.

These are all pointers to the consolidation and maturing of the industry, perhaps best symbolised by the fact that the long delayed Bharat Diamond Bourse is now back on track and its state-of-the-art structure housing 2,400 offices should be ready to start functioning by mid-2006. That, and the laying of a foundation stone for a sector specific jewellery SEZ in the diamond cutting capital, Surat, are the real pointers to the future.

The end-October DTC sight has at less than US$ 500 million been smaller than the preceding ones. Being the eve of Diwali, when manufacturing in India normally ceases for a short break, this was as per expectations of the market. It is also reported that the sightholders have responded positively to the assortments.