Closure of diamond units: Over 4 lakh jobs lost

Over 400,000 workers employed in various diamond units across the country lost their jobs due to the sharp decline in demand for precious stone in major export destinations following the global economic downturn, the Lok Sabha was informed on Monday.

According to surveys undertaken by the government of Gujarat as quoted in the Reserva Bank of India Task Force Report of February 26, 'approximately 4,317 diamond units were not functioning and 4,13,000 workers have lost their jobs,' minister of state for commerce and industry Jyotiraditya Scindia said.

The surveys showed about 2,230 diamond units out of approximately 6,547 diamond units are functioning, he said in a written reply.

Scindia said the government had taken two fiscal stimulus measures to promote and protect the industry, including the diamond sector.

Further, he said, the government has announced slew of measures in the Foreign Trade Policy and Union Budget 2009-10 to uplift the sector from the gloom.