90,000 Jobless Diamond Workers Waiting for Government Aid

(IDEX Online) - More than 90,000 artisans in Gujarat, India's diamond hub, have applied for government aid, amid layoffs, short-time working and factory closures.

The state government of Gujarat launched the scheme in May for diamond workers who had been unemployed for a year or more. It has made only a handful of payouts.

Last week it said it had received 70,254 applications from Surat city, requesting Rs 13,500 (USD 157) per child for annual school fees. It has yet to make any payments.

In addition, 19,694 jobless workers from elsewhere in Gujurat have applied. Only 170 have received a payout.

The government aid has been hit by delays and verification issues.

Many small diamond polishing units in Surat and surrounding areas have shut down.

The Russia-Ukraine war disrupted global rough diamond supply chains and the imposition of a 50 per cent tariff by the US on Indian goods, froze an estimated $4.8bn of exports, resulting in mass layoffs and closure of workshops.