'Diamond sector facing severe crisis in India'

Falling imports and exports in the last 3 years have triggered defaults, factory closures and job losses, says GTRI think tank

India's diamond sector is facing a severe crisis as both imports and exports have sharply declined in the past three years, which has triggered defaults, factory closures, and widespread job losses, think tank GTRI said on Wednesday.

It said that while export returns have surged, a large inventory of unprocessed rough diamonds is piling up due to reduced orders and growing competition from lab-grown diamonds.