How the Israel Conflict Affects the Diamond Trade: Perspectives from Exporters
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India-Israel Trade : Within the complex trade relationship between India and Israel , cut and polished diamonds have consistently held a significant role. India's exports of these stunning gems to Israel, with an approximate value of $1.2 billion, play a crucial part in their economic interchange. Following closely in importance is the trade involving lab-grown diamonds.
On the flip side, India predominantly brings in rough diamonds from Israel, with imports of rough diamonds totaling $519 million and imports of cut and polished diamonds reaching $220 million, as reported by PTI.
Nevertheless, the ongoing conflict between Israel and Hamas poses a significant threat to the flourishing diamond trade .
Colin Shah, the Managing Director of Kama Jewelry, shared his concerns with PTI regarding the possible negative consequences of the conflict on India's exports to Israel. He highlighted that the ongoing war situation could worsen the existing trade challenges between Israel and India, where India is Israel's second-largest trading partner in Asia.
During the fiscal year 2022-23, the bilateral trade in gems and jewelry between India and Israel reached $2.04 billion, showing a decrease from the $2.8 billion registered in the preceding fiscal year. Exporters are expressing concerns that the ongoing Israel-Hamas conflict could potentially pose additional challenges to this trade relationship.
Sharad Kumar Saraf, the founder chairman of Mumbai-based company Technocraft Industries India, has emphasized the possible immediate impact of the conflict on Indian exporters. He pointed out that an escalation could significantly complicate matters for exporters in the region.
Ajay Srivastava, a co-founder of GTRI, cautioned that trade might encounter major problems if the operations at Israel's three biggest ports—Haifa, Ashdod, and Eilat—are disrupted in any way.
According to PTI, a significant portion of India's trade in goods with Israel passes through the strategically located Eilat port on the Red Sea.
In the fiscal year 2022-23, India and Israel further strengthened their trade relations, spanning both the merchandise and services sectors, with a combined estimated value of approximately $12 billion. Within this period, India's exports of merchandise to Israel surged to $8.4 billion, while imports from Israel totaled $2.3 billion. This trade dynamic resulted in a significant merchandise trade surplus of $6.1 billion for India.
On the flip side, India predominantly brings in rough diamonds from Israel, with imports of rough diamonds totaling $519 million and imports of cut and polished diamonds reaching $220 million, as reported by PTI.
Nevertheless, the ongoing conflict between Israel and Hamas poses a significant threat to the flourishing diamond trade .
Colin Shah, the Managing Director of Kama Jewelry, shared his concerns with PTI regarding the possible negative consequences of the conflict on India's exports to Israel. He highlighted that the ongoing war situation could worsen the existing trade challenges between Israel and India, where India is Israel's second-largest trading partner in Asia.
During the fiscal year 2022-23, the bilateral trade in gems and jewelry between India and Israel reached $2.04 billion, showing a decrease from the $2.8 billion registered in the preceding fiscal year. Exporters are expressing concerns that the ongoing Israel-Hamas conflict could potentially pose additional challenges to this trade relationship.
Sharad Kumar Saraf, the founder chairman of Mumbai-based company Technocraft Industries India, has emphasized the possible immediate impact of the conflict on Indian exporters. He pointed out that an escalation could significantly complicate matters for exporters in the region.
Ajay Srivastava, a co-founder of GTRI, cautioned that trade might encounter major problems if the operations at Israel's three biggest ports—Haifa, Ashdod, and Eilat—are disrupted in any way.
According to PTI, a significant portion of India's trade in goods with Israel passes through the strategically located Eilat port on the Red Sea.
In the fiscal year 2022-23, India and Israel further strengthened their trade relations, spanning both the merchandise and services sectors, with a combined estimated value of approximately $12 billion. Within this period, India's exports of merchandise to Israel surged to $8.4 billion, while imports from Israel totaled $2.3 billion. This trade dynamic resulted in a significant merchandise trade surplus of $6.1 billion for India.
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