India is ending a two-month freeze on rough diamond imports, with the Gem and Jewellery Export Promotion Council (GJEPC) saying the initiative helped stabilise the country’s diamond industry.

The voluntary suspension, which commenced on October 15 this year, will be lifted on December 15. The move was meant to address challenges arising from a demand-supply imbalance. 

Vipul Shah, chairman of GJEPC, said the moratorium helped bring stability to the Indian diamond sector, which had been adversely affected by low market demand. Additionally, it led to more steady polished diamond prices over the past two months. 

“The industry is hopeful that prices will remain stable and sustainable in the coming months as demand for natural diamonds gradually recovers in the key markets of the US, China, Middle East, and Europe,” remarked Shah.

The GJEPC, along with other Indian gem and jewellery associations, earlier urged the industry to remain cautious of impending global uncertainties influenced by ongoing geopolitical tensions.

“We will continue to work closely with diamond miners to ensure a balance between demand and supply, and to implement effective marketing campaigns to boost consumer confidence and demand for natural diamonds. We are confident that with our cooperation and resilience, we will achieve a prosperous future for the Indian diamond industry,” Shah added.