January 18, 2021

With migrants gone, jewelry exporters seeks extra time to fill orders



KOLKATA: Diamond and gold jewelry exporters from Gujarat and Maharashtra are in search of extra time to ship export orders as almost 4 lakh migrant staff in Surat and Mumbai are unlikely to return to work earlier than Diwali.

Orders that take 4-5 weeks to be delivered at the moment are being executed in 6-7 weeks. Exporters concern the delay in execution of orders might lead to shifting enterprise from India to different South East Asian nations.

“Though the occasions are robust, demand for jewelry exports is seeing an upsurge, and that may be a enormous constructive for the commerce” mentioned Colin Shah, chairman, Gem & Jewelry Export Promotion Council (GJEPC).

These staff comprise these wanting to resume work however are unable to due to transportation restrictions, or these reluctant to go away their households in occasions of disaster, Shah mentioned.

Practically 1 lakh staff are engaged in Mumbai within the gem and jewelry commerce. “Of them, we predict solely 50,000 to return earlier than Diwali,” mentioned the GJEPC chairman. Migrant staff typically come from West Bengal, Gujarat and Uttar Pradesh.

The scenario is comparable in Surat too, the diamond reducing and sharpening hub of India. “Practically 6.5 lakh staff come to Surat to work. Of them, almost 3.5 lakh staff aren’t going to come back earlier than Diwali,” mentioned Bhavesh Tank, vice chairman of Diamond Employees’ Union, Gujarat.

Rahul Dholakia, managing director, Shree Ramkrishna Exports, mentioned his firm is now working just one shift. There may be good demand for his or her merchandise, primarily from the US and China, however “We can’t meet even 50% of the demand because the output is just 25% as a result of skeletal employees. Attributable to lesser variety of individuals working on the customs division, consignments are additionally being dispatched at a slower tempo.”

Shailesh Sangani, founder, Precedence Jewels, mentioned “Mumbai jewelry commerce is going through an incredible scarcity of manpower, significantly within the SEEPZ space.”

“We’re coaxing staff to return by providing extra money, and even air tickets for just a few extremely expert staff. However they’re hesitant to go away their households after having been at residence for such a very long time. Then, there’s the fixed concern of the continued pandemic and its proliferation throughout town of Mumbai. In the mean time, working in two to 3 shifts is the one reply to bridging the hole between rising orders and the dearth of staff,” Sangani added.

The concern is that if Indian exporters are unable to fulfil orders, they could lose enterprise to different international locations corresponding to Thailand, Vietnam or China, all working with a bigger capability at a lot nearer to regular than factories in India.