India is the world's largest cutting and polishing centre for diamonds, with the cutting and polishing industry being supported by government policies. Moreover, India exports 95 per cent of the world's diamonds, as per statistics from the Gems and Jewelry Export promotion Council (GJEPC).The industry is projected to generate up to US$ 35 billion of revenue from exports by 2015. FY14 saw an increase of 12.65 per cent in export of cut and polished diamonds with the segment reaching US$ 19,635 million. The industry also witnessed a rise of 11.98 per cent in imports of rough diamonds with figures of US$ 16,716 million.
India imported 163.11 million carats of rough diamonds worth US$ 16.34 billion and exported 36.46 million carats of polished diamonds valued at US$ 20.23 billion in 2014. The country exported gems and jewelry worth US$ 36.04 billion in 2014. India has signed a Memorandum of Understanding (MoU) with Russia to source data on diamond trade between the two countries. India is the top global processor of diamonds, while Russia is the largest rough diamond producer. The Government of India is planning to establish a special zone with tax benefits for diamond import and trading in Mumbai, in an effort to develop the city as a rival to Antwerp and Dubai, which are currently the top trading hubs for diamond.