IT sector may be significantly hurt by global crisis: Saran

The Indian IT industry is likely to be impacted significantly by the global financial crisis due to the loss of overseas markets as well as protectionist trends, according to PM's special envoy Shyam Saran.

Saran further said that the sector has been focused on the export market so far. It has not looked at the domestic market as a significant business opportunity.

"Now could be the time to do this. More competitive conditions in both domestic as well as external markets require Indian industry to be more efficient and productive," he told at a seminar on 'GeoPolitical Consequences of Current Financial and Economic Crisis: Implications for India'.

This is where the country's IT industry can play a significant role, but this will require the dynamic sectors of economy, the services and the manufacturing sector, to come together to deliver a major punch, once the global economy settles down into a new and altered landscape, he said.

He suggested that there should be a willingness in business and industry to think through and come up with an ambitious and potentially winning strategy.

They should seek government support for delivering on such a strategy rather than looking only for short-term relief, added Saran.