Pictures of Punit Paranjpe. Video by Glenda Kwek
SURATE (awp/afp) – The repercussions of the war in Ukraine are felt even in this corner of an Indian factory where Yogesh Zanzamera, one of the two million Indian diamond polishers, spreads his diaper on the floor.
It is in this workshop in Surat, in the state of Gujarat, that Mr. Zanzamera works and lives, sharing the toilets with about thirty others and risking, with this corrupt air, lung infections, a drop in eyesight and other illnesses.
A new concern has been added: Western sanctions, following the invasion of Ukraine, against Russia, the largest supplier of rough stones for India and a long-time strategic ally.
“There are not enough diamonds and therefore not enough work”, explains to AFP Mr. Zanzamera, 44, in this workshop where he has worked since he left school at 13 years old.
“The war should end. Everyone’s life depends on the end of the war.”
Sitting on the ground, preparing his dinner, the worker explains that his monthly salary of 20,000 rupees (240 euros) has already lost 20 to 30%.
However, he is one of the lucky ones. According to local unions, between 30,000 and 50,000 diamond workers in Surah have lost their jobs.
Collapsed production
A port at the mouth of the Tapti River in the west of the country, Surah carved out a reputation as India’s “Diamond City” in the 1960s and 70s.
Nearly 90% of the diamonds sold in the world are cut and polished in this industrial city or in the state of Gujarat.
In the crowded Mahidharpura market, vendors carry these gems in paper wrappers and sell millions of dollars every day.
“If it doesn’t go through Surah, a diamond isn’t a diamond,” smiles Chirag Patel, CEO of Chirage Gems.
Russian miners like Alrosa traditionally supplied more than a third of India’s rough diamonds, but that supply has all but ceased due to Western sanctions.
For Chirag Gems, Russia was even more important since it accounted for half of the 900 rough stones processed each day by the company and resold for 150 to 150,000 dollars.
Equipped with state-of-the-art laser-cutting machinery, his factory is more efficient than most, with air conditioning and exhaust systems that protect workers from inhaling dangerous diamond dust.
But with the sanctions against Russia, production collapsed by 90%.
“We don’t receive the products from Russia because the payment system (SWIFT) is blocked because of the war,” sighs Mr Patel, 32, explaining that he is trying to fill this gap through South African sources or Ghanaian.
Declining demand
And demand is also on the rise this wedding season.
The United States accounts for 40% of India’s $24 billion annual diamond export, according to data from the Gem and Jewelery Export Promotion Council (GJEPC). But brands like Signet, Tiffany, Chopard and Pandora refuse to buy diamonds from Russia.
At the end of the chain, the workers feel the consequences, like Dipak Prajapati, who lost his job in May which brought him $320 a month, enough to support the six members of his family.
“I called the company to ask when I could go back to work, but they said they had no work for me and asked me to stay at home,” he told AFP. 37 year old man.
And shortly before his dismissal, the pandemic forced closures.
“We didn’t have a salary for six to eight months. We had to borrow money from all sides to survive and we are still repaying these loans,” says Prajapati.
Help plan
The Gujarat Diamond Workers’ Union has asked the state leader for a 10 billion rupee (120 million euro) aid package for those who have lost their jobs.
“We told him that if the situation does not improve in the next few days, our workers will be driven to suicide,” said union vice-president Bhavesh Tank.
“Surate has given so much to the world,” adds Mr. Tank, “Surate cleaned up diamonds for the whole world, but now it is our diamond workers who are being flushed out.”
“The only thing to do is pray to god that the war ends. If the war doesn’t end, we don’t know how much worse things will get.”
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