Surat diamond barons in $1.2-bn Zimbabwe deal | business | Hindustan Times
Today in New Delhi, India
Mar 26, 2017-Sunday
New Delhi
  • Humidity
  • Wind

Surat diamond barons in $1.2-bn Zimbabwe deal

business Updated: Oct 25, 2010 02:30 IST
Mahesh Langa

Diamond barons of Surat, who formed a consortium to boost their business earlier this year, have stuck a novel $1.2-billion (R5,520-crore) deal with the government of Zimabwe in a path-breaking agreement that provides steady demand to the African nation and supply to the polishing and marketing business. Besides, the Gujarat-based industry will also provide training facilities to create skilled artisans in Zimbabwe.

The deal involving the Surat Rough Diamond Sourcing India Ltd (SRDSIL) and representatives of Zimbabwe Diamond Consortium (ZDC) has been signed in Harare, industry executives told Hindustan Times. Under the agreement, SRDSIL will buy a minimum of $100-million worth of rough diamonds every month.

Gujarat’s diamond industry exports polished and processed diamonds worldwide after importing them from overseas. It has a huge base of skiled artisans specialising in cutting and polishing of diamonds and more than 90 per cent of the world’s diamonds are said to be cut and polished in Surat.

“This is a very good business deal for Surat diamond units, who are always short of supply of rough diamonds,” said Chandrakant Sanghavi, prominent diamond trader and director, SRDSIL.

In exchange for guaranteed sales of $1.2 billion a year, domestic traders will train 1 000 young Zimbabweans in designing, cutting and polishing diamonds and also help Zimbabwe in developing a strong diamond benefication industry. Surat Diamonds