Indian diamond trade bodies have asked their members to temporarily stop importing rough diamonds for two months starting October 15. The organizations said that stopping diamond imports would maintain the balance between the gemstone's supply and demand, increasing their value as well as confidence in the products.

According to a letter issued by five trade bodies, the appeal only focuses on the voluntary suspension of importing rough diamonds, meaning diamond manufacturers will be allowed to continue their operations without interruption.

The letter was jointly issued September 26 by the Gem Jewellery Export Promotion Council (GJEPC), Surat Diamond Bourse, the Mumbai Diamond Merchants Association, Bharat Diamond Bourse and the Surat Diamond Association, according to The Indian Express.

The organizations said the demand for loose polished diamonds and other jewelry from large economies has been materially hurt over the last few quarters, "on the back of all-time highs of 2021 and 2022.” As a result, Indian exports have fallen by 25% from January 2023 to August 2023, with similar trends expected for September.

“Due to such factors, our inventories in polished diamonds have increased over the past few months and prices are softer as an effect of this mismatch in demand vs. supply,” the note said.

The state of India’s rough diamond imports market will be reviewed again during the first week of December 2023.