India’s software and services exports are estimated to grow by 32% to US$23.4 billion (NZ$34.4 billion) in the next financial year, according to data released earlier this month by the Indian National Association of Software and Service Companies (NASSCOM).
IT services, including software development, are expected to contribute US$13.2 billion to exports in the current fiscal year, while business process outsourcing (BPO) and call centres are likely to contribute US$6.3 billion, according to NASSCOM. Engineering services, research and development (R&D) services and product development work are expected to contribute another US$3.9 billion. The total Indian software and services industry, including sales to the domestic market, is estimated to grow during the financial year by about 31% 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. A report released in December by management consulting firm McKinsey and NASSCOM was also upbeat about the prospects for India’s outsourcing industry.
India can sustain its global leadership in offshoring and grow its IT and BPO industries at an annual rate of over 25% to generate export revenues of about US$60 billion in 2010, the report says.