Alrosa is reportedly considering a move to establish its own diamond polishing facility in India located in Surat or Jaipur, at an estimated cost of $50m, and it would represent Alrosa’s first overseas expansion, according to the Economic Times.

Alrosa, the world’s largest diamond producer by volume, currently focuses on rough diamond extraction and sales, with limited domestic polishing in Siberia and Moscow targeting smaller stones for local markets. A $50 million plant in Surat or Jaipur would mark its first overseas manufacturing venture, tapping into India’s dominance in 90% of global diamond cutting and polishing. This downstream expansion aims to boost efficiency, scale, and direct access to skilled labor and international buyers, reducing reliance on intermediaries.

India’s booming jewelry market, fueled by a rising middle class and double-digit growth, positions it as the second-largest diamond consumer after the US. The move could help Alrosa navigate sanctions, US tariffs, and “Russian origin” scrutiny by polishing abroad, easing entry into key markets. Beyond polishing, plans include co-branded luxury jewelry lines and blockchain traceability, fostering deeper ties with Indian manufacturers.