There is a hue and cry in the market as diamond jewellery firm in Hong Kong and Bangkok has gone bankrupt and defaulted on payment to the tune of Rs 350 crore to diamantaires in Surat and Mumbai. Indian diamantaires from Surat and Mumbai, who supply polished diamonds to their buyers in Hong Kong and Bangkok have begun to make frantic inquiries after trade alerts and seeing messages about their clients' poor financial condition on social media.
Industry sources in Hong Kong said polished diamond traders could face huge losses due to the Hong Kong-based diamond jewellery company going bust.
It may be recalled that India exports $28 billion worth of polished diamonds every year out of which nearly $9.5 billion goes to Hong Kong.
As Gems and Jewellery Exports Promotion Council (GJEPC) regional chairman Dinesh Navadia, told media, "We are gathering details from Hong Kong and Bangkok about reports that a diamond jewellery company has become bankrupt. It is bad news for diamond exporters from Surat and Mumbai."