Date:25/10/2007 URL: http://www.thehindubusinessline.com/2007/10/25/stories/2007102552571000.htm

Back IT export turnover will touch $80-billion mark by 2011: Raja

Our Bureau

New Delhi, Oct. 24 IT export turnover, currently at about $37 billion, is expected to touch the $80-billion mark by 2011 end, the Minister of Communications and Information Technology, Mr A Raja, said on Wednesday.

“We are confident that our exports will boom despite the perceived odds against outsourcing, and increasing competition. Assuming that we will grow at an average rate of 30 per cent per annum, our IT exports turnover will touch $80 billion mark by 2011,” the Minister said while addressing an awards ceremony of Electronics and Computer Software Export Promotion Council (ESC) here.

Stating that software services currently dominated the export basket, Mr Raja said that the electronic hardware was also going to be an equally significant export driver in future. “The Government is looking closely at a strategy to build capacities in the hardware sector,” he said.

Re appreciation

The Minister acknowledged the difficulties being faced by exporters on account of the Rupee appreciation saying that it had considerably affected the margins.

“We are taking up the issue of continuance of exemptions available under Section 10 A and 10 B of Income Tax Act to the IT companies operating under the existing scheme of the Software Technology Parks of India (STPI), at the highest level,” he said.