ID :
49874
Tue, 03/10/2009 - 14:41
Auther :
Shortlink :
https://oananews.org//node/49874
The shortlink copeid
CREDIT CRISIS FORCES INDIAN GEM EXPORTERS TO SHIFT TO ASIA
BY P.VIJIAN
NEW DELHI, March 10 (Bernama) -- A hard-hit Indian gems and jewellery
industry is trying to restrategise, focusing more on Southeast Asian markets, to
shift away from recession-plagued developed economies.
With the financial recession crippling major developed economies, Indian gem
and jewellery traders, who once relied heavily on these affluent markets, have
little choice but to seek new buyers closer to home for their products.
"Our exports have fallen by 19 to 20 percent in the last three to four
months.
"We need to do aggressive marketing.We need to find new markets so that we
are not totally dependent on the United States.
"We have to target new markets in Southeast Asia and among others, look at
Malaysia, Singapore, Japan and China," Kewal K. Duggal, regional director
(north) of the Gems and Jewellery Export Promotion Council, told Bernama.
India is a major global player in the gems and jewellery industry, with
exports worth nearly RM70 billion (US$ 20 billion) in 2007-2008 -- making it a
major foreign exchange revenue earner for the country.
But, the industry has lost its sheen since the global economic meltdown,
especially with the United States being India's largest market, with about 50
percent of exports.
India, with its abundant skilled workers in the sector, had positioned
itself as a leading diamond cutting and polishing centre in the world. Nine out
of 10 diamonds sold worldwide are cut and polished in cities like Jaipur, Surat,
Mumbai in the north, plus Coimbatore and Nagercoil in southern India.
Dwindling exports is also impacting employment in the industry, where
millions of Indians source for jobs in factories.
Some 30 percent of businesses have reportedly ceased operations and at
least nine workers committed suicide after losing their jobs.
"We have about 6,000 exporters and three to four million workers directly
and indirectly employed in this industry. There have been some job losses. In
Surat and Mumbai, which have diamond processing centres, the industry is badly
hit.
-- BERNAMA
NEW DELHI, March 10 (Bernama) -- A hard-hit Indian gems and jewellery
industry is trying to restrategise, focusing more on Southeast Asian markets, to
shift away from recession-plagued developed economies.
With the financial recession crippling major developed economies, Indian gem
and jewellery traders, who once relied heavily on these affluent markets, have
little choice but to seek new buyers closer to home for their products.
"Our exports have fallen by 19 to 20 percent in the last three to four
months.
"We need to do aggressive marketing.We need to find new markets so that we
are not totally dependent on the United States.
"We have to target new markets in Southeast Asia and among others, look at
Malaysia, Singapore, Japan and China," Kewal K. Duggal, regional director
(north) of the Gems and Jewellery Export Promotion Council, told Bernama.
India is a major global player in the gems and jewellery industry, with
exports worth nearly RM70 billion (US$ 20 billion) in 2007-2008 -- making it a
major foreign exchange revenue earner for the country.
But, the industry has lost its sheen since the global economic meltdown,
especially with the United States being India's largest market, with about 50
percent of exports.
India, with its abundant skilled workers in the sector, had positioned
itself as a leading diamond cutting and polishing centre in the world. Nine out
of 10 diamonds sold worldwide are cut and polished in cities like Jaipur, Surat,
Mumbai in the north, plus Coimbatore and Nagercoil in southern India.
Dwindling exports is also impacting employment in the industry, where
millions of Indians source for jobs in factories.
Some 30 percent of businesses have reportedly ceased operations and at
least nine workers committed suicide after losing their jobs.
"We have about 6,000 exporters and three to four million workers directly
and indirectly employed in this industry. There have been some job losses. In
Surat and Mumbai, which have diamond processing centres, the industry is badly
hit.
-- BERNAMA
