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Nasscom issues statement on US state Ohio's decision to ban outsourcing
Nasscom has issued a detailed note on the US state of Ohio's proposed ban on outsourcing of government IT projects InformationWeek News Network, September 08, 2010

Nasscom's statement is produced verbatim:
Ohio state’s proposed ban on outsourcing of government IT projects comes at a time when the November elections to the United State Congress and Ohio governorship are drawing nearer. There is more such electoral rhetoric that can be expected in the next few months.

While the public sector represents a small fraction in the overall demand for offshored services, it does represent a future focus area. Globally governments are beginning to see the benefits that can be reaped out of employing Information Technology in public services. India too is opening up not only in IT, but other areas, representing a growth market for global and domestic companies.

Ohio’s ban on outsourcing can only be viewed as counterproductive to the US government thrust on reducing public deficit and possibly lead to an increased tax burden on its citizens.

It is imperative that the focus on free trade remains strong, but instances like Senator Schumer’s Borders Security Bill and the Ohio State ban on outsourcing only reinforce our stand on discrimination. NASSCOM’s focus is to build open markets, global trade and we will work with key stakeholders to minimize the impact of such events by highlighting the benefits of employing Information Technology with international governments.

Incidentally, international trade is a federal subject and NASSCOM is also studying the legality of such a bill being passed by a state government. NASSCOM is leading a delegation to the US later this month and will be taking this up with relevant officials in the US and will seek support from Anand Sharma, Minister for Industry and Commerce who is also visiting US at the same time, to address this issue with his counter parts. NASSCOM believes in open markets and the promotion of free trade.



"Disclaimer Note: "InformationWeek India and UBM India do not endorse, and have not verified the views and claims expressed in this vendor Press Release."


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