IT services exporters banking on emerging US firmsDecember 23rd, 2008 - 8:52 pm ICT by IANS
Kolkata, Dec 23 (IANS) Emerging IT companies in the US could drive India’s software services exports, with the second quarter of the next fiscal (2009-2010) proving to be the critical phase, a senior industry representative said here Tuesday. “Bailout packages being announced by the government of the US would help the IT (information technology) industry of India at a rate faster than earlier imagined,” Sanjiv Narayan, chairman of Electronics and Computer Software Export Promotion Council, told reporters.
According to him, it would be the emerging companies in the US rather than the existing corporate houses that will drive exports of software services from India.
“Let the new US president come out with the Federal budget. We believe things will start moving from there,” Narayan said.
“The last three months of the current fiscal are critical. We are already feeling the spin-off effect of the US recession over here,” D.K. Sareen, the council’s executive director said.
In the first six months this fiscal, India’s IT industry registered total business of $25 billion. The total target for 2008-09 is $58 billion.
The growth rate for the first six months in dollar terms was 22 percent and 30 percent in rupee terms.
Asked about next year’s target, Sareen conceded the industry was “re-looking at the target of the next fiscal”.