The diamond industry in Surat is on its way to recovery. The growing economies in India, Middle East, Hong Kong and China are helping the sector to regain its glitter, The Times of India reported.



Roughly 500 units, 40% of the 1,250 diamond polishing units which shut shop in the wake of the economic crisis, are back in business, the report said. If September 2008 was the beginning of the crash period for the diamond industry, September 2009 has heralded a revival, it said.



"The reopened units are working in full capacity to meet orders from domestic as well as key diamond markets in Middle East, Hong Kong and China," said Rohit Mehta, president, Surat Diamond Association. Most of the diamantaires in Surat and Mumbai have been preparing for the Hong Kong jewelry and gem fair, Asia's biggest and one of the top three in the world, starting from September 21. Last September, the jewelry fair attracted more than 37,000 buyers from 133 countries and regions, said the report.



We are focusing on Hong Kong and India markets. The domestic demand for diamond jewelry has grown by almost 25% compared to last year, which was Rs 20,000 crore. As per the leading industry players, the domestic market for diamonds is likely to touch Rs 30,000 crore by 2012,'' Bharat Gosai, a leading diamantaire, told The Times of India.



As per the data from state government's labor department, of the total 2,500 units in the city, 1,250 were closed due to the global slump leaving two lakh workers jobless.

While most of the jobless diamond workers left for their home towns in Saurashtra, a fraction of them were absorbed in the embroidery industry.