Diwali Fails to Spark Indian Diamond Demand

The Times of India reported that there has been a 20-percent drop in demand for diamonds this Diwali, with jewelers across India reporting drops of over 50 percent in demand for diamond jewelry.

As quoted in the market news:

‘Even attractive price points for diamond jewellery are not exciting consumers. The market sentiment is very bearish. We are hoping better demand from January next year,’ said Rajiv Jain, chairman of Jaipur-based Sampad Gems. A bad market and a drop in demand have forced diamantaires in Surat and Mumbai to go on a threeweek vacation. This is also, is likely to bring down production by at least 40% this month.

‘The demand in the domestic market is slow though the international market is looking up. Liquidity crisis is affecting the domestic market,’ said Vipul Shah, chairman, Gem and Jewellery Export Promotion Council.

Click here to read the full report from The Times of India.