Iran-Israel tensions halt Surat-Dubai flight, diamond trade on edge

Surat | Gujarat — Escalating tensions between Iran and Israel, with the United States drawn into the conflict, have cast a long shadow far beyond West Asia — reaching deep into Surat’s global trade lifeline. In a sudden move citing security concerns, Air India Express has cancelled its Surat–Dubai flight for the next 24 hours, leaving passengers stranded and the city’s diamond industry on edge.

The cancellation follows heightened military activity in the region, prompting airlines worldwide to reassess routes and passenger safety. At Surat International Airport, anxious travellers gathered in large numbers after the announcement, seeking clarity on rescheduling and refunds.

But beyond the immediate inconvenience, the bigger blow has landed on Surat’s diamond traders — many of whom rely heavily on Dubai for high-value business transactions.

“This is a serious setback,” said Mehul Shah, vice-president of Bharat Diamond Bourse (BDB). “Due to the increasing tension between Israel, America and Iran-Iraq, airline companies have cancelled flights. With the closure of the Dubai and Middle East flight services and its airspaces,  traders who had crucial business meetings are now stuck.”

Dubai operates a structured tender system for diamond trading, where appointments are pre-scheduled and strictly timed. Missing a tender date can mean losing access to high-value deals worth crores of rupees.

“Those who had tenders scheduled today or tomorrow will miss their slots,” Shah added. “It is impossible to predict when the next opportunity will come. This disruption could stall transactions and affect liquidity in the market.”

Industry insiders fear that prolonged instability in West Asia could ripple through Surat’s export-driven diamond ecosystem, impacting both trade volumes and international partnerships.