The city is largely recognized for its textile and diamond businesses. It is also known as the diamond capital of the world and the textile capital of India. 92% of the world's diamonds are cut and polished in Surat. Surat is also the Third cleanest city in India after Chandigarh and Mysore. Surat was once the largest city in India. It has one of the highest GDP growth rates in India at 11.5% as of 2008. Surat was the primary port of India during the Mughal period, a distinction it lost to Bombay during the British Raj.
Diamond Polishing
Surat is economic capital of Gujarat and also one of the economic hubs of India. Surat is famous for its diamond industry and textile industry, along with silk and chemicals. It is at the heart of the world's diamond-polishing industry, which in 2005 cut 75% of the world's diamond pieces and earned India $15 billion in exports. Gujarati diamond cutters emigrating from East Africa established the industry in 1901 and by the 1970s Surat-based diamond cutters began exporting stones to the US for the first time. Though much of the polishing work takes place on small weight stones, Surat's workshops have set their eyes on the lucrative market for finishing larger, pricier stones in the future.
Surat diamond industry: The past
You can find the mention of the city of Surat even in the Indian epics and ancient scriptures. The British and Portuguese influence turned the city of Surat into an important port city and a vital business hub.
In the turn of 20th century, the city started its journey to become the nerve center of the diamond industry in the country. According to the local lore the initial set up was based on the expertise of the East African diamond cutters who were brought to the Indian shores in the early years of the past century.
However, the real twist in the success story of Surat actually came in the 1970's when the Indian diamond dealers started importing low-quality gemstones, and exporting them to the U.S. after turning them into dazzling pieces with their unmatched cutting and polishing skills.
The past few years saw a steep decline in the diamond processing industry in Mumbai---the traditional diamond hub in India and this acted as the additional boon for the Surat diamond industry. Surge in the economic and infrastructural degradation over the past few years forced several Mumbai based small as well as big diamond Houses to shift their bases in the neighboring Surat.
And all these have eventually contributed to the making of present Surat---the world's largest diamond processing centre.
Surat diamond industry: The present
Surat has left its mark of excellence in all the three departments of the business--- manufacturing, importing and the export of processed diamonds.
So how big is it actually? Let's try to find the answer from the following statistics:
So how big is it actually? Let's try to find the answer from the following statistics:
- The city contributes to more than 80% of the Indian annual export amounting to Rs 70,000 crore.
- Every 9 out of 10 diamonds you get to see in the plush stores in the big cities all over the world is cut and polished in India and 75 % of all these diamonds owe their sheen to the Surat Diamond industry.
- Over 1.5 million people are engaged in the diamond jewelry industry of Surat.
Surat diamond industry: What it holds for the future?
Traditionally Surat diamond industry dealt only with lower-quality diamonds. But with the growth and expansion in the market, the character of the Surat diamond industry has changed dramatically:
- Today, top quality, expensive stones are cut in Surat that can give a run for their money to those cut in Antwerp, New York and Tel Aviv.
- As opposed to the traditional, family run small cutting and polishing units, today's workshops are larger and professionally managed, keeping to international industrial standards.
- Most of the companies are smart enough to set up branches in the cities like Antwerp and Tel Aviv, so that the local workers can absorb the tricks of the trade.
- With exposure to a highly lucrative diamond market, both abroad and back home, and with every support from the Government, Surat---as believed by the trade analysts-is soon to replace the Belgium's Hasidim as the global leader in diamond industry.
- On a global scale, the Surat based companies are coming up with thousands of diamond retail stores that are expected to herald a worldwide cut in the diamond prices for years to come.
