Value of Indian IT exports rises 41.5% to $36.6b

Dubai: The total value of India's electronics, computer software and services exports in 2006-2007 stood at $36.65 billion, an increase of 41.54 per cent compared to $25.89 billion in 2005-2006.

Exports into the Middle East countries stood at $837.06 million in 2006-2007, registering an increase of 3.41 per cent compared to $809.45 million in 2005-06, an Electronics and Computer Software Export Promotion Council (ESC) official said.

"Electronic hardware exports to the region stood at $314.56 million while computer software exports stood at $522.50 million last year," said Kamal Vachani, regional director of ESC for the Middle East and UAE.

ESC is an autonomous body under the Ministry of Communications and IT, Government of India.

Vachani said the region accounts for 2.28 per cent of the total exports. The biggest contributor is North America with 59.22 per cent followed by the European Union with 26.88 per cent, Singapore, Hong Kong and other South Asian countries with 4.51 per cent.

Electronics, computer software and services exports account for 16.63 per cent share of the overall exports, which stood at $220.36 billion.

The share of services in India's overall exports is put at $90 billion. There has been a growth of 9.91 per cent over the previous year's $80 billion.

Vachani said the production of electronics, computer software and services exports registered $57.76 billion, accounting for a share of 6.09 per cent in India's GDP at current prices.

Computer, software and service exports into the Mideast stood at $522.50 million while electronic hardware exports to the UAE increased by 5.54 per cent to $160.18 million.

"India accounts for 2.45 per cent share of the global electronics and electronics, computer, software and services market. The global production of electronics, computer software and services during 2006-07 stood at $2,354 billion while electronics hardware production put at $1,504 billion. The IT services market is put at $850 billion," Vachani said.

"We are penetrating very strongly in this region and we feel large scope and further increase in exports of software, hardware and other electronics items.

"Since the inception of the regional representation of ESC, we have left no stone unturned in increasing exports from India and make all efforts to ensure the exports of electronics, computer software and services are increased in this part of the world. We are very confident that the steps taken by ESC will increase further and give big boost to exports from India to the Middle East."

He said consumer electronics is a major sector and it contributes to more than 35 per cent of the total electronic hardware production in the country.

"India's production of consumer electronics goods during the year 2006-07 registered a growth of 14 per cent over the year 2005-06. In value terms, production of consumer electronics goods is put at $4624 million up from $4066 million in the year 2005-06," Vachani said.