A major automation drive is going on across the private and government sector across the country. The total IT market in Brazil has been estimated to the tune $20 billion last year. This includes $5.5 billion of software business. However, Indian exports of software and services to Brazil remained at Rs 15 crore only in 1999-2000. Brazil has a good potential for banking software as it has one of the largest network of banking and financial institutions. According to the government sources, India has recognised the potential in Brazil for Indian IT services.

In fact, the entire Latin American market should be explored using Brazil as the gateway and the visit of the Indian IT minister will help in increasing Indian presence in the sector. The minister of information technology and parliamentary affairs, Mr Pramod Mahajan, is presently in Brazil with an official delegation.

According to Mr Dewang Mehta, President of National Association of software and service Companies (NASSCOM), India has not yet capitalised on the potential of IT business in Latin American countries. Nasscom has recognised the opportunities and organizing a seminar on Indian IT industry in Brazil in April, he added.