Software council to take SME teams to France, Spain

Last Updated: Tue, Feb 09, 2010 12:46 hrs

Hyderabad: The Electronics and Computer Software Export Promotion Council (ESC) is in the process of finalising plans to conduct separate trade delegations of small and medium-sized IT enterprises to France and Spain.

This is part of the ESC migration strategy for emerging markets that would help diversify India’s overall IT export basket.

“These delegations would be taken around and introduced to companies in France and Spain respectively, to work with them. Alongside, we also see these two countries can open up access to about 20 countries each, with French and Spanish interface,” D.K. Sareen, Executive Director of ESC, said.

The Council is in the process of helping SME network with representatives of emerging markets who are keen to work with Indian companies.

The demand is quite huge and has the potential to insulate against the fluctuation in the US market, which now contributes to about 61 per cent of total IT exports, he said. The nature of business and demand varies from one region to another.

Companies in Latin America and Africa are keen to partner with Indian companies in areas such as enterprise resource planning, system integration, telecom and eGovernance applications.

“In the case of France and Germany, they have huge business opportunity but are woefully short of people. And in countries such as Australia ad Brazil, they have huge business opportunity but do not have people with necessary skill sets. If we address these markets, and build up relationships, we can expect the export mix to go up to 50:50 for US and non-US business,” Sanjiv Narayan, Chairman of ESC, said.

The interaction with delegates from over 40 countries shows that some of the countries have successfully begun to address markets such as Latin America and companies such as Mann India now generate all their exports from there, Sareen said.

Domestic companies have developed several products and applications for eGovernance, and they could help some of the countries in Africa and Latin America deploy them. These are in the areas of smart cards, common electronic identity cards and citizen databases, they explained.

The focus of emerging markets is not only to tap into new regions but also to partly help insulate against huge dependence on the US market. The impact of the slowdown and fluctuating dollar has meant lower export numbers this year, Narayan said.

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