Tuesday, December 16, 2008

Over 65,000 jems and jewellery workers may be laid-off

The cgems and jewellery industry has already laid-off 65,000 workers and might be forced to lay-off a like number in the next two months, an industry official said on Tuesday.

"The Indian gems and jewellery sector was forced to lay-off 65,000 workers between August-October. Due to the ongoing economic slowdown and slump in demand, there could be a further lay-off of 65,000 workers in the next two months," Gems and Jewellery Export Promotion Council's (GJEPC) Chairman, Vasant Mehta, told reporters here.

The sector has also been afflicted by a significant dip of 34.25 per cent in exports in November, Mehta said.

There was a danger of many units shutting down, he warned, adding that by January, the exact number of units closing down would be known.

India's gems and jewellery sector contributes 55 per cent of the world's export in terms of value and over 75 per cent by carats and number of pieces.

In November, the sector witnessed a decline in exports by 34.25 per cent at USD 987.10 million from $1,501.27 million during the year-ago period, he said.

"At the manufacturing level, exports of cut and polished diamonds are down by 20.18 per cent as compared to the same period last year," he said.

The gems and jewellery industry witnessed a drop of over 20 per cent in its order books during April-October as compared to the same period last year.

The situation could be much worse in November and December, he said.

Source: Agencies

No comments:

Total Pageviews