Even as Diwali is just over a fortnight away, 26,000 diamond workers in Surat have suffered a setback, with the administration rejecting their applications for financial assistance towards their children’s education.
According to sources, the District Industries Centre in Surat cited two reasons for the rejections: incomplete forms and discrepancies in the reported dates of job loss, which did not align with the Government Resolution (GR) issued by the state government.
Earlier this May, the Gujarat Government announced a financial aid package for the diamond industry, which included support for workers who lost their jobs after March 31, 2024, along with subsidies for diamond polishing.
Each worker is eligible to receive Rs 13,500 per child towards school fees, with the amount to be paid directly to the schools.
Financial assistance for diamond workers has been a long-standing demand.
Now, with the academic year already halfway through, the delay in disbursement has caused distress. Many schools have reportedly informed parents that students will not be issued hall tickets unless the fees are paid.
The latest blow is the rejection of 26,000 applications. Out of a total of 74,268 submitted, only 47,599 were approved — leaving more than 30,000 children without relief. Several workers have more than one child, further compounding the problem.
The rejections come at a time when India’s diamond industry is already under pressure due to a 25% tariff, along with an additional 25% tariff, imposed by the US on diamond exports. Industry sources warn that if the tariffs are not rolled back, up to one lakh diamond workers may lose their jobs. There was no tariff on diamond exports until the US first imposed a 25% duty, followed by the additional 25%.
Industry insiders say the real impact of the new tariffs will be evident only after units reopen following Diwali. They also noted that most companies had shipped their consignments before the additional 25% duty was imposed.
The Surat diamond industry, which polishes nine out of every ten diamonds in the world, was already facing a slowdown following the COVID-19 pandemic and the Russia-Ukraine war.
Plea for ‘big heart’
The Diamond Workers’ Union Gujarat (DWUG) has urged the state government to reconsider its decision and approve all applications.
Bhavesh Tank, vice president of the Union, told Vibes of India that the government should “show a big heart” and approve every application. While asserting that most of the applications are genuine, he acknowledged that one or two percent may not be.
Gujarat Congress leader Manhar Patel has also written to the state government, demanding approval of all applications. Other Congress leaders, including Gujarat Congress president Amit Chavda, have also raised concerns over the crisis in the diamond industry.
Also Read: Saleswoman Held For Over Rs 2 Crore Jewellery Theft In Surat, Husband Also Held https://www.vibesofindia.com/saleswoman-held-for-over-rs-2-crore-jewellery-theft-in-surat-husband-also-held/
