IT Industry

‘One Lakh Crore’ Growth possible in IT industry in Tamilnadu

Under the visionary leadership and spectacular governance Jayalalithaa, (1991-1996 & 2001-2006), Information Technology Industry in Tamilnadu had massively grown, but it is shocking to note that growth of software exports from Tamilnadu skidded to 4.99% in the fiscal ended March 2010. According to government data, exports grew modestly this year compared to stunning growth of other rivals including Karnataka, and AP.

It is unfortunate that no notable initiative to grow Information Technology industry by the state government in the last 5 years. The export growth which has happened in the last 5 years (2006-2010) is only from the companies which were started during 1991-1996 and 2001-2006.

Even Gujrat, UP, Kerala are also joining the IT race, as Tamilnadu is very careless in the last 5 years in showing any interest to grow or not even to retain the most important Information Technology industry’s growth.

Software exports from India grew by 5.5% for the fiscal ended March 2010. Of this, a lion's share was from Karnataka, which had exports worth around Rs 76,000 crore. Tamilnadu added just Rs 86 crore in revenue from IT exports during 2009-10 over the previous year even as most of the software companies operating in the State had a difficult time, by many means.

The State reported IT exports of Rs 36,766 crore during 2009-10 as against Rs 36,680 crore in the corresponding year, an increase of Rs 86 crore or 0.23 per cent, according to the latest data released by STPI (Software Technology Parks of India) Chennai.

Interestingly, total software export from Karnataka during 2009-10 touched Rs 76,000 crore. This was from 1,200 STPI units while 1,751 units achieved Rs 36,766 crore in Tamilnadu.

Less than 70 new units where registered in STPI in Tamilnadu, the first time the state hit a 2 digit number in its history. Hardware exports are further more pathetic, as the export increase is less than a crore.

One of the main reasons amidst several others is that the required information and statistics is not made available in any of the states websites which is the entry point for any Information Technology company who wish to enter a country / state. It is unfortunate that many important information and initiatives taken during Jayalalithaa's government are hidden or wrongly interpreted. It is sad to see politically motivated bureaucrats played a role in this as well and damaging the Information Technology industry growth in the state.

Under the visionary leadership and spectacular governance Jayalalithaa, (1991-1996 & 2001-2006), Information Technology Industry in Tamilnadu had massively grown from just 2 crores in 1993-94 to a stunning performance of 14, 115 crores in 2005-06.

The strategic initiatives taken by Jayalalithaa, attracted tons of millions of foreign investment in Information Technology industry to Tamilnadu. She ensured information revolution in Tamilnadu and made Tamilnadu emerged as the top IT State in India as well as a gateway to South East Asia. During Jayalalithaa's two tenure as the chief minister of Tamilnadu the state became a major software outsourcing destination of the world.

But in the last five years (2006 – 2010), an industry which can give a huge revenue to the state and help develop the states economy coupled with plenty of direct job opportunities and indirect growth to the supporting industries - was not given due importance.

Inefficient administration, poor infrastructure, pathetic power cuts and incapable governance affected IT industry growth in Tamilnadu significantly. The fantastic talent pool of Chennai and Tamilnadu is moving away from the state to other states which gives significant importance to Information Technology industry.

The growth of the Information Technology industry in Tamilnadu has been spectacular under the visionary leadership of J Jayalalithaa. It has not only helped information technology professionals, but helped all the support industries and provided millions of job opportunities, ensuring a phenomenal economic growth in Tamilnadu.

Achieving One Lakh crore in IT exports is definitely possible in Tamilnadu in the next 5 years, if proper initiatives are taken and due importance be given to this industry. This is possible only by a leader with commitment.

We look forward to the smart regime of Jayalalithaa sooner and the new government which is going to be formed under the visionary leadership of Jayalalithaa will sure bring back the Information Technology to growth path again. And achieving One Lakh Crore growth in 2016 is a possible mission under the great leadership of Jayalalithaa.