Engg services outsourcing to grow at rapid pace in India: Karnik

Bangalore, Aug 4: Outsourcing of Engineering Services is going to be the next big thing after IT, bringing in an expected 40 billion Dollars by 2020, and the country needs to brace itself up to provide the required infrastructure to aid its rapid growth, NASSCOM President Kiran Karnik said today.

Delivering the inaugural address at the NASSCOM Engineering Service Summit here, he said the industry and the government would have to work together to develop the necessary infrastructure as the growth of engineering services outsourcing would witness sprouting of more industrial hubs in the country. It promised to grow faster than the IT sector that had made spectacular progress in India, he added.

He said a special group formed by the Union Government was working on solving the infrastructural problems faced by the industries. Manufacturers would also have to work closely with the Centre and state governments in creating better infrastructure.

Mr Karnik said ''The projected income India can corner from outsourced engineering services is not an ambition, but a target that can be realised. For this, a close coordination between the government and the industry is the key,'' he added.

He said apart from infrastructure, the industry would need the support of the government in the areas of human resources as Engineering Services would need professionals of high order. India had the best chance to emerge the frontrunner as it produced people of high quality in the field of engineering.

NASSCOM Chairman and Satyam Computers Founder Chairman B Ramalinga Raju said the globalisation process had resulted in higher growth rate in wealth creation and this would continue. He opined that economic services should be given the same status of IT industry as it had enoromous growth potential. Global customers of the engineering industry were looking for better balance to operate and India should brace itself up on par with China to offer the best facilities.

He said ''We will see more and more customers operate from India and hey will expect infrastructure facilities on par with China. For achieving this, we have to create a congenial infrastructure and human resource base. The country needs to produce more engineering graduates to cater to the growing needs of the engineering industry,'' he added.

UNI