Surat diamond traders trigger Heera Pheri; will Mumbai retaliate?

Surat Diamond Bourse

Surat Diamond Bourse's controversial circular, making lucrative offers to the city's diamond merchants to shift base to Gujarat, has triggered a war with the Bharat Diamond Bourse, located in Mumbai. The traders from the city have been promised a waiver of the maintenance charge for the first six months.

The circular by the Surat Diamond Bourse (SDB) states that if the traders from Mumbai comes to Surat, their maintenance charge of the first six months will be waived off and their names will be displayed in the reception area of the SDB for lifetime.

SDB President Vallabh Lakhani said, "This decision is from the committee and not my individual decision. The committee has given this offer. When the Surat Diamond Bourse was established, the diamond traders had asked me to come to Surat in 2014 and I left Mumbai and came to Surat. That offer was only for me."

The Bharat Diamond Bourse campus in Mumbai. Pic/bdbindia.org

Bharat Diamond Bourse (BDB) treasurer Anup Zaveri said, "Traders should never do this. This only suits people who want fights. We will not stop anyone [from moving to Surat]. Those who want to work in Mumbai can do so. People are working across India. Surat Diamond Bourse was just like our brothers, but now they are dividing us traders and creating animosity."

Zaveri added, "We are traders and we have to focus on business, and not on such fights." The SDB earlier had objections to traders who were doing their business from Mumbai. However, the circular stated that they have no objection to traders from Mumbai or elsewhere doing business in Surat.

One of the BDB traders, on condition of anonymity, said, "At BDB, there are 200-400 cabins on the lower level where small Kathiyawadi group traders work and there are chances they might shift. If they will get some relaxation in rent it will be good. Currently, the rent is Rs 500-Rs 600 per foot. The BDB can reduce the rent, give a three years' contract and take only a one-year deposit. If these relaxations are given, nobody will go."

Speaking with mid-day, Chief Minister Uddhav Thackeray's advisor and media in-charge Harshal Pradhan said, "Gandhinagar was created as a gift city, and now they are planning to make Surat the diamond market. Narendra Modi is an unsuccessful prime minister because of whom there is inflation, joblessness and petrol and diesel rates are sky high. Normal people didn't get relief from such offers. Today, the PM's target is only Gujarat and not the entire country."