AP software exports post 41% growth

Written by Corporate Bureau | Hyderabad, May 30 | Updated: May 31 2008, 06:44am hrs
Despite recession in the US and rupee appreciation, the Software Technology Parks of India, Hyderabad (STPI-H) has managed to garner a 41% growth over the last year's exports against the projected national average growth rate of 32% thus taking the fourth position in the overall exports. Exports from the IT industry for the year 2007-08 stood at Rs 26,122 crore as opposed to last year's exports of Rs 18,582 crore.

The projected investments are Rs 2,100 crore by the newly-registered units which include Rs 656 crore from foreign companies and Rs 1,446 crore from Indian companies. As many as 176 new IT units have been added this year as STP units. The contribution from the state is growing steadily and is now 15% of the national exports, according to E Manoj Kumar, director.

Announcing the results to the media, he said that the target for next year is also a growth of over 40% and the state government has devised multi-pronged steps to add right talent, create better infrastructure, expand to multiple locations and create more business opportunities. Further, tier-II and tier-III cities such as Visakhapatnam, Vijayawada, Tirupati and Kakinada have started attracting many companies and are upbeat on the export front. With the success of an incubation model in Kakinada, STPI is also in the process of adding similar initiatives in other locations with the support from the State government.

As part of its focus areas for growth, STPI-H is planning expansion of incubators in tier-II cities. A state-of-the-art incubation centre is coming up in Hyderabad which is expected to be operational by the end of this year, he said. The software units have generated employment to about 23,9000 in 2007-08 from 18,7450 in 2006-07.

Meanwhile, the second phase of NIXI (National Internet Exchange) hub in Hyderabad will soon be taking shape.

The first phase, as proposed by the Department of Information and Technology, has already been initiated at the four metros and the second phase is on. ISPs have been enrolled by which internet traffic can be routed within the country and not go to the US.