The Rourkela project got delayed due to differences between the state government and the STPI over fixing of rent for the built-up space. While the information technology department of the Orissa government demanded a nominal rent for the built-up space and the land, the STPI wanted to give only token money. This led to a fierce exchange of letters between the two parties. The dispute reached such a pass that at one point of time, the state government was preparing to set up the park on its own.

However, with the intervention of Chief Minister Naveen Patnaik, and director of STPI, Bhubaneswar, Manas Ranjan Patnaik, the issue was solved last week. The state government now would provide only 3000 sq ft built up space out of the 16000 sq ft Industrial Museum Building of the Rourkela Steel Plant and four acres of land to the STPI authorities for the park.State government sources told The Financial Express that the government of Orissa and the STPI authority have signed the MoU for the Rourkela Park. It would be opened for entrepreneurs by January 2001.

The state government would take back the Industrial Museum Building of Rourkela Steel Plant and hand over the same to the STPI authority. The state government, which will act as facilitator, has committed Rs 1 crore for the project. The STPI on its part would invest Rs 5 crore to develop about 16000 sq ft area and provide facilities like data communications to entrepreneurs to start their units. The park, which would be operational immediately with the leased line from Bharat Sanchar Nigam Ltd (BSNL), would have a dedicated earth station at a later stage.

About 25 entrepreneurs have already registered their companies with the STPI expecting that the park would come up at Rourkela soon.

Meanwhile, software exports from Orissa have crossed Rs 72 crore in the first six months of the current fiscal. Software companies operating in Orissa have declared export of Rs 72.30 crore worth of software during April-September 2000. Total software exports last year was Rs 91.23 crore."The trend is quite enthusiastic and we are confident that we would be able to achieve the target of earning Rs 200 crore forex from software exports this fiscal", Mr Manas Ranjan Patnaik told The Financial Express.

Mr Patnaik said that out of the 65 software units in the state that have become operational, 30 companies have started exporting. However, major exporters are the two IT giants, Infosys Technology Ltd and Satyam Computers. While Infosys has exported Rs 63 crore worth of software, Satyam has exported software worth Rs 2 crore during the first six months of the current fiscal. The other 28 small and medium enterprises have declared exports of Rs 7.30 crore during the period, he added.

Orissa, sixth among the states in respect of forex earnings from software exports, has registered a tremendous growth in the IT sector. Starting 1996-97 with no exports, the state earned Rs 4.76 crore during 1997-98. This jumped to Rs 53.97 crore the next year. Despite the setback due to the cyclone, the software exports from the state touched Rs 91.23 crore in 1999-2000. There are 4000 software professionals now engaged in about 144 units that have registered with the Software Technology Park of India. Mr Patnaik said software exports from the state would touch a new high with the coming up of STPI parks at Rourkela and Berhampur.