In the aftermath of Prime Minister Narendra Modi's inauguration of the Surat Diamond Bourse, Congress leader Milind Deora expressed concerns over the potential relocation of the diamond industry from Maharashtra to Gujarat. Deora, in a social media post, reminisced about the inauguration of Mumbai's Bharat Diamond Bourse in 2010, an event he attended with his late father, Murli Deora, a former Union minister.
Highlighting the significance of Mumbai's gem and jewellery sector as a major contributor to employment and tax revenue, Deora lamented the possibility of Maharashtra losing this industry to Gujarat. The Bharat Diamond Bourse, once touted as the world's largest diamond trading center, commenced operations in Mumbai on October 17, 2010.
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Deora's apprehensions are rooted in reports of prominent diamond merchants contemplating a move to Gujarat's Surat in light of the newly established Surat Diamond Bourse. Vallabhbhai Lakhani, a billionaire diamond trader and the Director of Kiran Gems, has already initiated the shift of his Rs 17,000-crore business to Surat, accompanied by plans to develop a mini-township for his employees.
Anticipating a significant exodus, with nearly 1,000 diamond company offices relocating from Mumbai to Surat, concerns have been raised about the potential impact on Maharashtra's tax revenue. A member of the Surat Diamond Bourse committee underscored the economic ramifications of such a shift.
Prime Minister Narendra Modi, during the inauguration of the Surat Diamond Bourse, hailed it as a symbol of "new India and the country's determination." He emphasized the employment opportunities it would generate, stating that the Surat diamond industry currently employs 8 lakh people, with an additional 1.5 lakh jobs expected due to the establishment of the new diamond bourse.
The Prime Minister's Office (PMO) issued a statement emphasizing that the Surat Diamond Bourse, post-inauguration, would be the world's largest and most modern center for international diamond and jewellery business. The facility is poised to become a global hub for the trading of both rough and polished diamonds, as well as jewellery, according to the PMO.
In conclusion, the concerns raised by Congress leader Milind Deora highlight the potential economic and industrial shifts triggered by the inauguration of the Surat Diamond Bourse. As the diamond industry faces a crossroads, with the prospect of significant relocations, the broader implications for Maharashtra's tax revenue and employment landscape remain subjects of ongoing discussion and debate.