Jaipur may challenge Gurgaon as IT outsourcing hub
More than 100 IT and ITES companies have set up operations in Jaipur in the past three years, growing the total exports from the city by 40%.
By Jessica Mehroin Irani & Nina Mehta, ET Bureau |
MUMBAI: Jaipur is fast becoming a rival for outsourcing hub Gurgaon, with large IT and BPO firms setting up offices in the pink city.
More than 100 IT and ITES companies have set up operations in Jaipur in the past three years, growing the total exports from the city by 40%, to about $100 million in the current fiscal year, according to senior state officials.
Although this is less than 1% of India's total IT exports, the state government has been focusing on this sector mainly due to its potential. "The government's attitude is very positive as it realises that this sector will contribute largely to the job market," said Sanjay Tyagi, Software Technology Parks of India Rajasthan additional director and central head. Most of the IT companies are located in these parks and have seen an addition of 10,000 direct jobs.
Software Technology Parks are government-promoted dedicated regions that give tax holidays to IT companies and have been very popular with smaller firms.
Jaipur, which till 2006 was more famous as a tourist hub, has seen growth as a tier-II city mainly due to its proximity to Delhi - its a three-hour drive from the National Capital Region - and a large trained and educated workforce.
The city has a large number of educational institutes including 64 engineering colleges, with 325,000 graduates passing out every year.
Since 2006, when Infosys and Genpact built their BPO operations, a large number of companies have set up shop in Jaipur. Other players such as Wipro, Tech Mahindra, Deutsche Bank, Nucleus Software, Nagarro Software, Truworth and Connexxions are planning to set up shop in the 750-acre SEZ that Mumbaibased Mahindra & Mahindra has built in the city.
"The city not only has great connectivity, but also a large talent pool as many IITians are from Kota," said Mahindra and Mahindra executive director Arun Nanda, who has set up the group's SEZs in Jaipur and Chennai.
More than 100 IT and ITES companies have set up operations in Jaipur in the past three years, growing the total exports from the city by 40%, to about $100 million in the current fiscal year, according to senior state officials.
Although this is less than 1% of India's total IT exports, the state government has been focusing on this sector mainly due to its potential. "The government's attitude is very positive as it realises that this sector will contribute largely to the job market," said Sanjay Tyagi, Software Technology Parks of India Rajasthan additional director and central head. Most of the IT companies are located in these parks and have seen an addition of 10,000 direct jobs.
Software Technology Parks are government-promoted dedicated regions that give tax holidays to IT companies and have been very popular with smaller firms.
Jaipur, which till 2006 was more famous as a tourist hub, has seen growth as a tier-II city mainly due to its proximity to Delhi - its a three-hour drive from the National Capital Region - and a large trained and educated workforce.
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The city has a large number of educational institutes including 64 engineering colleges, with 325,000 graduates passing out every year.
Since 2006, when Infosys and Genpact built their BPO operations, a large number of companies have set up shop in Jaipur. Other players such as Wipro, Tech Mahindra, Deutsche Bank, Nucleus Software, Nagarro Software, Truworth and Connexxions are planning to set up shop in the 750-acre SEZ that Mumbaibased Mahindra & Mahindra has built in the city.
"The city not only has great connectivity, but also a large talent pool as many IITians are from Kota," said Mahindra and Mahindra executive director Arun Nanda, who has set up the group's SEZs in Jaipur and Chennai.
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