Engineering offshore creates 2.5 lakh jobs

NEW DELHI: The potential offshored engineering market in India could exceed $40 billion by 2020, which will catapult India's market share in the same category to 30 per cent from the current 12 per cent.

The $40 billion opportunities for engineering offshoring could create 2.5 lakh jobs for Indian engineers, according to a report by Nasscom and Booz Allen Hamilton.

"The total offshore engineering strength is expected to grow to $150-$225 billion by 2020 and India with its talent pool and existing experience in engineering services is well suited to realise 25 per cent of this opportunity," Kiran Karnik, president, Nasscom said.

India's current share of offshored engineering services market is about 12 per cent, relatively small as compared to the Information Technology and Business Process Outsourcing sectors.

The study by Nasscom and Booz Allen Hamilton also found that India is well positioned to increase its market share of engineering offshoring from 12 per cent to 30 per cent by 2020.