Surat, Aug. 17: To cut out the role of the middlemen, Surat diamond traders have decided to take raw material procurement in their own hands by setting up a company with a start-up fund of Rs 1,000 crore.
The proposed firm, Surat Diamond Sourcing (SDS) will procure diamond roughs, the raw material for the cutting and polishing industry, directly from mines from Canada, Russia and Africa, a top body of the traders said.
“Nearly 500 members, who shall be the founder shareholders, will contribute Rs 1.8 crore each and other members will pay Rs 54 lakh each,” Surat Diamond Association president, Mr Rohit Mehta, said.