Weak US dollar affects IT exports of STPI Mohali in 2007-08

CHANDIGARH: A weak dollar against rupee and slowdown in the US have taken a toll on exports of software and IT services from Punjab, Chandigarh and Panchkula as shipments grew by just 20.50 per cent in 2007-08, its slowest in the past three years.

"The main reason behind fall in the growth of export of software, IT and IT-enabled services from this region could be attributed to the depreciation of dollar against Indian rupee coupled with slowdown in the US economy," said a senior official of Software Technology Park of India (STPI), Mohali.

STPI Mohali covers whole of Punjab, Chandigarh and Panchkula under the STPI scheme.

A total of 253 IT units are registered with STPI Mohali, out of which only 135 units are actively working towards IT exports with total employment of 8,000. It registered an export growth of 32.62 per cent last year.

Last year, US dollar depreciated against rupee by 11 per cent. As a result of a strong rupee, the growth in IT export business in 2007-08 from this region has been the slowest in the past three years, sources said.

The IT units registered with STPI Mohali recorded a growth of 47.25 per cent in 2004-05 (exports of Rs 267.79 crore), 57.84 per cent in 2005-06 (Rs 423.08 crore) and 32.62 per cent in 2006-07 (Rs 560.76 crore).

However, the total IT exports from this region in 2007-08 has grown to Rs 676.19 crore in 2007-08.

Meanwhile, Infosys Technologies Ltd continued to occupy first position among first five top STPI units. The company observed a growth of 27 per cent in IT export business at Rs 221.18 crore in 2007-08, against Rs 174.23 crore in 2006-07.

Besides, Dell International services achieved an export business of Rs 135.32 crore in 2007-08 from Rs 97.70 crore in 2006-07, up by 37.76 per cent.