Gems and jewellery industry cuts 1,00,000 jobs

The gems and jewellery industry reeling under the global recession has laid off about 1,00,000 workers, an industry leader said on Friday.
"This is for the first time in four decades that the diamond industry is facing a severe liquidity crunch and has laid off 1,00,000 people recently," Gitanjali Group Managing Director Mehul Choksi said in Surat.
Over 1.3 million people and their families depend on the 50-billion dollar Indian gems and jewellery industry that has been hit hard with exports nosediving and imports of rough diamonds remaining suspended for a month till Thursday.
The Gems and Jewellery Export Promotion Council (GJEPC), which apprehended 40 per cent reduction in demand, has since withdrawn its call for suspension of imports.
Of the 50 billion-dollar industry, exports account for 20 billion dollar. The country manufactures 90 per cent of the world's diamonds as per the industry players, while Surat alone accounts for 70 per cent.
"But we are passing through a very rough phase with employment of miners and those polishing gems at risk," Federation of Indian Chamber of Commerce and Industry (FICCI) Secretary General Amit Mitra said.