Madhya Pradesh, the central Indian state, is the most significant diamond-producing region in India and the only state where alluvial and primary diamond mining continues to operate at meaningful scale. The Panna belt, in the Bundelkhand region of the state, has been a documented diamond source since at least the 14th century and remains India's principal active diamond producer through the National Mineral Development Corporation's Majhgawan mine and a network of artisanal operations.

Panna and Majhgawan

The Majhgawan diamond mine, near the town of Panna, exploits a kimberlite pipe and is the only operating primary diamond mine in India. The deposit is geologically distinct from the alluvial deposits along the Ken river and its tributaries that have historically supplied the bulk of Indian diamonds. The Panna alluvial fields support hundreds of small-scale and licensed artisanal operations under a long-standing Madhya Pradesh state framework.

Other gem materials

Beyond diamond, Madhya Pradesh hosts emerald deposits at Kalapatthar in Sidhi district (limited and intermittent production), garnet, tourmaline and quartz varieties from various pegmatite occurrences. The Vindhyan and Bundelkhand geological belts that cross the state provide a host environment for diamond and a range of other gem minerals, although none rivals Panna in commercial significance.

Trade context

Indian diamond production is dwarfed in volume by Botswana, Russia, Canada and Australia, but Panna stones carry historic significance: the Koh-i-Noor, the Hope, the Regent and other historic Indian diamonds are believed to have originated in the alluvial fields of the Deccan and central Indian belts that today fall within Madhya Pradesh and Andhra Pradesh. Modern Panna production is mostly small commercial sizes, marketed through state-administered auctions.

Madhya Pradesh is also home to the Indian Bureau of Mines diamond office and serves as the regulatory centre for India's primary diamond mining, distinct from the cutting and polishing centre at Surat in Gujarat.