Friday, February 10, 2006

India's outsourcing industry to grow by 32 percent

As per a write-up on Computer Partners "India's software and services exports are estimated to grow by 32 percent to US$23.4 billion" in the fiscal year ending March 31, according to data released Thursday by the National Association of Software and Service Companies (NASSCOM).

IT services, including software development, are expected to contribute $13.2 billion to exports in the current fiscal year, while business process outsourcing (BPO) and call centers are likely to contribute $6.3 billion, according to NASSCOM in Delhi. Engineering services, research and development (R&D) services, and product development work are expected to contribute another $3.9 billion.

The total Indian software and services industry, including sales to the domestic market, is estimated to grow during the fiscal year by about 31 percent to US$29.5 billion.
Employment in the country's software and services sector is likely to reach 1.3 million by March 31, according to NASSCOM, of which about 922,000 are employed in the export sector.

India's outsourcing industry is riding a boom in outsourcing. A report released in December by management consulting firm McKinsey & Co. and NASSCOM was upbeat about the prospects for India's outsourcing industry. India can sustain its global leadership position in offshoring, and grow its IT and BPO industries at an annual rate of over 25 percent to generate export revenues of about $60 billion in 2010, the report said.
For details read here.

The article is sponsored by A-1 Technology Inc, dealing in software outsourcing, offshore outsourcing and offshore software development.