India's mineral rich state Chhattisgarh will start commercial production of diamonds by 2010 that will bring down diamonds prices globally, Chief Minister Raman Singh has said.
"At least half a dozen companies are presently involved in an advanced stage of diamond prospecting in seven of the state's total 16 districts and it will take another four years to begin commercial production," the chief minister said.
Officials say several diamond companies including multinational giant De Beers, Jindal Steel and Power Ltd, the Admas Prospecting Pvt Ltd, Geo Mysore Services India and ACC Rio Tinto Expoloration Pvt Ltd have been engaged in diamond prospecting in Raipur, Mahasamund, Durg, Dhamtari, Kanker, Jashipur and Rajnandgaon districts.
"The companies are closing in on areas that have kimberlite rocks and pipes that contain raw diamond particles," Raman Singh said.
"It is confirmed the state has vast diamond deposits but it will take at least another four years to begin diamond production at commercial level," he said.
"Once the production will begin, Chhattisgarh will decide the diamond price in world market.
"I know the diamond rate will crash once Chhattisgarh starts diamond supply in world market."
Chhattisgarh, carved out of Madhya Pradesh in November 2000, has as many as 28 varieties of major minerals including diamonds.