Indian software and services exports clocked revenues of $17.2 billion, registering a growth of 34.5 per cent during 2004-2005, according to the annual Nasscom survey.
The employee base in this sector has grown at a rate of of 23.6%, from 242,000 in FY 2001-02 to 697,000 in FY 2004-05 and the industry employee base crossed the 1 million mark in FY05, said the survey.
The figures of Nasscom's annual survey on the performance of the Indian IT-ITeS industry (excluding hardware) and the outlook for 2005-2006 were released in New Delhi on Thursday.
The overall Indian IT-ITeS industry (including domestic market) grew by 32 per cent during 2004-2005, registering revenues of $22 billion, up from $16.7 billion in 2003-2004, Nasscom said.
The Indian software and services exports industry forecast to register a strong growth of around 30 to 32 per cent in 2005-2006, clocking revenues of $22.5 billion, it said.
The Indian IT-ITeS industry's employee base crossed the one-million mark in 2004-2005, Nasscom said.
The total value of outsourcing to India ($17.2 billion in 2004-2005) is estimated to be 44 per cent of the worldwide total, it said.
Speaking on the occasion, S Ramadorai, Chairman, Nasscom said, "The Indian software and services industry has been able to maintain its growth momentum and consolidate its partnership with overseas customers, adding to their competitiveness. The industry also scaled record levels of employment in FY 04-05, with the employee base crossing the 1 million mark."
"The industry is in a strong position to leverage the global software opportunity and establish India as the premier IT destination in the world. To sustain our competitive advantage, the industry must engage closely with academia to create the right talent pool, collaborate with the hardware industry in microelectronics and embedded software, maximize employment opportunities and elevate service excellence through R&D and quality-benchmarked delivery," added Ramadorai.
Kiran Karnik, President, Nasscom, said, "The performance of the Indian software and services exports industry once again reinforces our confidence in attaining the projected target of $50 billion in FY 09. The year has witnessed greater adoption of the global delivery model, with Indian vendors establishing their presence in high-margin segments, along with a steady growth in traditional service lines in the ITES-BPO sector."
"It is heartening to note that companies are also increasing their focus on the domestic market. One of our significant objectives for the year would be to increase collaboration amongst Indian companies to share ideas, information and best practices in order to sustain and grow the domestic market. Extensive use of IT within the country can result in great economic benefit, efficient and transparent governance, and empowerment of the disadvantaged," he added.
Highlights of the Nasscom survey