Andhra's software exports cross $1bn

Software exports rise 37% to Rs 5,025 crore in 2003-04

Software exports from Andhra Pradesh crossed the $1 billion mark for the first time for the year ended March 31, 2004. The software exports jumped 37 per cent to Rs 5,025 crore as compared to Rs 3,668 crore in 2002-03.

The Hyderabad unit of Software Technology Parks of India (STPH) yesterday said that the state ranked fourth in software exports parks (STPs) in the country.

Bangalore with Rs 18,100 crore exports continues to be at the top position.

It is followed by Noida (Rs 9,000 crore), which includes exports under the Mohali and Jaipur STPs. Chennai which is estimated to post software export revenue of about Rs 7,000 crore is third, while Pune with Rs 4,200 crore exports is at the fifth place.

Addressing a press conference, M Vijay Kumar, director of STPH, said: "Of the 1,060 information technology companies registered with STPH, 860 companies have recorded software exports worth Rs 5,025 crore."

Satyam Computer Services Limited topped the list with exports worth Rs 651 crore, followed by Wipro Limited (Rs 587.58 crore) and GE Capital International (Rs 455.12 crore). Ten companies have crossed the Rs 100 crore exports mark.

"We expect the exports to rise by 40 per cent to Rs 7,000 crore during the current financial year as against the projected national growth rate of 32 per cent," Vijay Kumar said.

The share in total exports by the information technology-enabled services (ITES) sector through datacom facilities increased from 72 per cent to 82.15 per cent.

"The value of software exports through datacom facilities is likely to grow further during the current financial year with increased bandwidth, wider global reach, access to new markets and increased outsourcing activity to India," Kumar said.

"Hyderabad is emerging as the hub for outsourcing activity and the gap in software research and development is narrowing. In addition to the existing multinational companies, new companies such as Accenture, Franklin Templeton, Skyworks and many more have established their units in the city," the STPH director said.

In addition to the incentives in the Exim policy, the state government has brought in enactments like the Infrastructure Development Enabling Act to focus on the growth of the industry.

New units totalling 119, including 42 foreign companies, have made investments to the tune of Rs 684 crore. Of this, Rs 307 crore was invested by foreign companies and Rs 377 crore by the Indian companies during the year.

J C Mohanty, state principal secretary (communications and information technology), said: "The new government has recognised the potential growth of economy and employment in the sector, and will extend all necessary help to the IT sector."

He said that the chief minister would convene a meeting with the top brass of the industry on June 15 to discuss the sector's needs and remove any apprehensions that the new government does not recognise the importance of software sector.

"The government is also looking at the prospect of the IT sector moving into the second-rung cities and not just being concentrated in Hyderabad," he said.

Earlier, Kumar said that data communication facilities were set up at Vishakapatnam, Vijayawada, Tirupathi and Warangal through digital video broadcast (DVB) international gateways.