Software worth Rs 15.35 billion was exported in 1994-95 and this figure is expected to touch Rs 24.5 billion in 1995-96, a review paper by the Indian software industry prepared by the national association of software and service companies (Nasscom) said.
Our solutions are the best in the world in terms of quality, reliability and cost-effectiveness,the Nasscom executive director said.
The compounded annual growth rate of the Indian software export industry has been as high as 45.74 per cent during the last five years. A World Bank-funded study recently ranked India firston the preference list of US vendors for offshore software development.
There are more than 400 companies in India engaged in software export. Tata Consultancy Services netted a revenue of Rs 2,860 million from software exports and emerged as the number one exporter in 1994-95 followed by Wipro and Tata Unisys.
Infosys Technologies, NIIT, IIS infotech and Citicorp information technology industries are among the top 20 exporters.
On-site development accounted for over 60 per cent of the software exports in 1994-95 and off-shore services accounted for 30 per cent. Offshore project development, which includes services and packages, is expected to go up with improved data communication links and the problems posed by unnatural visa restrictions of visiting software professionals by the US and some European countries, the review paper said.
While professional services and customised software consultancy account for almost three quarters (74 per cent) of the total software exports, products and packages accounted for a mere 11 per cent in India's software export basket in 1994-95.
The US is the single largest market for software exports with 58 per cent exports in 1994-95 and Europe absorbed 20 per cent.
Apprehensions about visa restrictions in the US market are pushing Indian software exports to focus on Latin American and Asia-Pacific market, the executive director of Nasscom said.
Keeping in view the advantages India enjoys in this environment-friendly industry and the vast potential of the industry, the government has identified software as one of the thrust sectors.
