SEZs will not help IT expansion: Nasscom chief

Chandigarh, July 20 (UNI) Nasscom President Kiran Karnik today said the much-hyped Special Economic Zone (SEZ) projects ''will not help the expansion of IT sector''.

An IT service provider is highly unlikely to set up business in a SEZ as he would prefer a cheaper and more accessible place to tetch good business, Mr Karnik said while talking to mediapersons on the sidelines of e-revolution 2006 conference here.

An emerging e-service provider will opt for a commercial outlet at a busy local market as it would be cost efficient since not much space is required for such ventures, he added.

SEZs will be useful only for builders or promoters and at the best the manufacturers, Mr Karnik opined.

Expressing satisfaction over the growth of the IT sector in India, Mr Karnik said, ''Though we are ahead, their is no place for complacency as China still remains a threat''. Though exports are growing at the rate of 20-37 per cent, the domestic market needs to be pushed up, he added.

Earlier in his keynote address at the conference, Mr Karnik said that human resource development needed to be developed in the country for the success of the IT sector. According to estimates the IT sector in the country will face a shortage of five lakh well trained persons by the year 2010, he added.

The Nasscom Chief laid stress on improving the standards of education through public-private partnership ''for making available skilled and quality manpower for the IT sector''.

The government in consultation with the industry should go in for both short term and long term policies for improving education standards, he added.

The benefits of IT were limited to a certain section of society, but could be used for the development of the country as well as the common man, he said. ''IT knowledge will have to trickle down to help even those who are ignorant of this technology'', he said in his closing remarks.

Punjab Governor and Chandigarh Administrator Gen (retd) S F Rodriques invited the IT companies to open ventures in the region which was becoming a major IT hub. The governments of Punjab and Haryana were working in close coordination with the Chandigarh administration for the development of the Chandigarh Capital region (CCR) and improving the infra structure, he added.

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