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Diamond exports from Mumbai surge ahead of imminent us tariffs

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In a striking display of urgency and strategic maneuvering, Mumbai Customs cleared $319.9 million worth of cut and polished diamonds destined for the United States in the first four days of April 2025. This marks a fivefold increase compared to the same period last year and reflects a sharp escalation in trade activity ahead of new US tariffs on Indian diamond imports.

The sudden export surge is directly linked to the 26% reciprocal tariff on Indian diamonds that came into effect on April 9, a measure announced by former US President Donald Trump. With the clock ticking down to the implementation date, Indian exporters acted swiftly to push inventory across borders and into the American market, aiming to avoid the impending duty and preserve their competitive pricing advantage.

The United States, being the world’s largest consumer of diamonds, plays a crucial role in India’s diamond trade. Nearly one-third of India’s $32 billion gem and jewellery exports are shipped to the US annually. With the imposition of this steep tariff, the traditional cost advantage that Indian diamonds have enjoyed in the US is expected to erode, potentially reshaping trade dynamics between the two nations.

However, this rapid spike in shipments has raised concerns about pressure on supply chains. Many rough diamonds currently undergoing processing are unlikely to be completed in time to meet the tariff-free deadline. As a result, the industry may face delays in deliveries and disruptions in trade flow during the transition period.

The effects are likely to be felt most acutely in Surat, India’s diamond cutting and polishing capital. The potential dip in US demand may force a recalibration of production volumes, which in turn could affect employment and operational continuity in the region. Thousands of workers employed in Surat’s diamond sector depend heavily on exports to the US for steady income and job security.

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DiamondBuzz

Lucara Secures $50 Million Equity Boost for Karowe Underground Expansion

Lundin Family Trusts back CAD 70 million private placement to fund 2026 development plans

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Lucara Diamond Corp. has raised CAD 70 million (approximately $50.5 million) through a private placement of equity to support the advancement of its Karowe Underground Project (UGP) and strengthen its working capital position.

The company issued around 437.5 million shares at a price of CAD 0.16 per share, with the Lundin Family Trusts subscribing to the entire offering. The Lundin family controls Nemesia, Lucara’s largest shareholder, reinforcing its long-term commitment to the miner’s flagship Botswana operation.

Proceeds from the financing will be primarily used to progress the Karowe UGP, a key growth initiative aimed at extending the life and value of the mine, alongside general corporate and working capital requirements.

Commenting on the transaction, Lucara President and CEO William Lamb said the support from the Lundin Family Trusts highlights the strategic importance of the underground expansion. He added that the funding will position the company to accelerate critical project milestones planned for 2026.

The private placement is subject to customary regulatory approvals, including acceptance by the Toronto Stock Exchange, and does not require shareholder approval. Lucara expects the transaction to close by the end of the month.

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JewelBuzz is Asia’s First Digital Jewellery Media & India’s No.1 B2B Jewellery Magazine, published by AM Media House. Since 2016, we’ve been the trusted source for jewellery news, market trends, trade insights, exhibitions, podcasts, and brand stories, connecting jewellers, retailers, and industry professionals worldwide.

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