Diamond exporters happy at Obama146;s win

Sources in the industry said the imposition of 7 per cent import duty which was later made 4 per cent had affected the export business of gems and jewellery from India to the US. Some of its business was diverted to the Middle East and European countries.

Praveen Nanavati, convener of the Gem Jewellery Export Promotion Council, Gujarat, said: 8220;I am seeing positive signs for the gem and jewellery industry over the victory of Obama. The diamond industry had been facing a slump in the recent years. Now, we feel it would become stable in the coming months.8221;

Gem and jewellery exporter Chandrakant Sanghvi said: 8220;Obama likes India and Indians. He also understands the diamond industry well. We expect his coming to power will be good for the industry as the US holds 55 per cent of the diamond market in the world.8221;

8220;We believe Obama will lift the import duty of 4 per cent on diamonds and jewellery business. This will also play a role in strengthening the US economy,8221; he said.

Another exporter Kirti Shah said: 8220;The diamond industry, which is labour-oriented in India, is facing a great meltdown this year. Earlier, Diwali vacation used to be of 30 days. This year, it has been extended to 60 days. Lakhs of diamond polishers have become jobless in the last two months.8221;

Shah said Obama8217;s victory is likely to prove favourable for the industry as India exports most of its diamonds and jewellery to the US.