Electronics and Computer Software Export Promotion Council (ESC), an organization sponsored by the Government of India is the Registering Authority for the IT / ITeS industry of India under the Foreign Trade Policy of the Directorate General of Foreign Trade, Government of India. ESC has a membership base of over 2300 Indian ICT companies spread across the country and works as a bridge between the Government and the Industry on policy and promotional matters. ESC also implements financial assistance programs of the Government of India to enhance market outreach of its member companies in the global markets.
Department of Commerce has identified 12 Champion Services Sectors for promoting their development and realizing their potential, including Information Technology & Information Technology enabled Services (IT & ITeS), Tourism and Hospitality Services, Medical Value Travel, Transport and Logistics Services, Accounting and Financial Services, Audio Visual Services, Legal Services, Communication Services, Construction and Related Engineering Services, Environmental Services and Education Services. A dedicated fund of Rs. 5000 crores has been established to support initiatives for sectoral Action Plans of the Champion Sectors with around Rs. 600 crores reserved for the IT / ITeS sector through MeitY.
You will be happy to know that the Council’s proposal to support its MSME Members under the Market Outreach Program of Champion Services Scheme has been approved by the Government of India. Under the program ESC will be hosting IT buyers from Japan and Republic of Korea for B2B networking meet with the Indian IT exporters.
Japan is the second largest single IT Software and services market in the world preceded by the USA. The Indian IT SMEs in particular have not so far been able to penetrate into the Japanese IT Software & Services market in the same successful manner as they have done in the case of the sophisticated and quality conscious market US market. The Japanese market offers immense IT potential to be tapped in various verticals of IT.
Republic of Korea too has shown keen interest to outsource their IT requirements There is ap swing in investments too from South Korean to India. Companies including SAMSUNG, LG etc are investing a lot in the Indian market.
INDIA’S IT INDUSTRY
Today India’s IT & ITES sector has created a brand image globally and has emerged as one of the prime sectors towards generation of revenues to the country. The IT & ITES sector accounts for a share of 6% in India’s GDP at current prices. However, there is still immense scope for India to enhance IT & ITeS exports to existing markets and explore new and emerging markets for market diversification.
Indian IT firms and IT professionals have won world-wide recognition in terms of their technical competence, domain knowledge, experience and expertise for offering quality IT services, and their exposure to working on various platforms and system.
WHY JAPAN& REPUBLIC OF KOREA
- Japan continues to emerge an important IT destination for Indian IT companies to create market niches.
- The business opportunities include software products, solutions, e governance, e commerce, Embedded Software, Outsourcing contracts, Banking and Finance, etc
- Olympic Games scheduled for 2020 in Japan will offer IT business opportunities at large.
- Republic of Korea is too looking to India and their companies are bringing investment to India in several sectors including IT.
In order to provide Indian IT industry especially the SMEs an exposure to strengthen and augment their IT services exports, the hosting of 30 buyers each from Japan, Korea will overcome language barriers, thus resulting in relationship building and assist in augmenting India’s IT services exports to Japan and Korea.
LIKELY BENEFIT AFTER COMPLETION OF THE PROJECT:
- Increase in IT & ITES services exports from India.
- Increase in Revenue generation.
- Sustaining and building the brand image of India as the best sourcing destination for IT & ITES PRODUCTS / SERVICES.