Business

India’s Software And IT Services Exports Reach $200 Billion In 2023-24

India’s software and IT services exports have reached an estimated $200 billion in the financial year 2023-24, reflecting a 3.63 percent increase from the previous year’s $193 billion, according to a report released by the Electronics and Computer Software Export Promotion Council (ESC) on Thursday.

This consistent growth highlights the resilience of the sector, further cementing its pivotal role in driving India’s digital economy.

Regional Contribution To Software Exports

The report also provides insight into the regional distribution of software exports across India. The southern region remains the dominant contributor, accounting for $131.1 billion, or about 65.55 percent of the total exports.

The western region follows with $34.1 billion (17.05 percent), while the northern region contributes $30.78 billion (15.39 percent). The eastern region, though growing, has a smaller share, contributing $4.02 billion (2.01 percent) of the total.

Factors Driving The Sector’s Success

India’s IT and electronics industry has flourished, attracting global giants thanks to its skilled workforce, cost advantages, and a business-friendly environment.

The rise of cutting-edge technologies such as artificial intelligence, machine learning, and cloud computing has further propelled India’s position as a global leader in digital services.

Also Read: India’s Defence Sector Set For Major Growth Amid Rising Global Demand

“India’s highly skilled managerial and technical workforce is meeting global standards, especially in IT, which has transformed the country into the world’s outsourcing hub,” said Veer Sagar, Chairman of ESC.

He also highlighted the importance of the growth in IT software and services, software product development, and BPO services as major drivers of this expansion.

Top Export Destinations For India’s Software

The United States remains India’s largest software export market, with exports amounting to $109.4 billion, or 54.7 percent of the total exports.

The United Kingdom follows with $28.7 billion (14.35 percent), while Singapore and China contribute $7 billion (3.5 percent) and $5.5 billion (2.75 percent), respectively.

Sandeep Narula, Chairman of ESC’s Global Outreach, noted that this distribution underscores India’s growing dominance in the global IT export market.

“India’s IT industry is now firmly positioned as a global leader in software exports,” Narula stated.

Looking Ahead

As the sector thrives, India’s IT industry remains well-positioned to retain its role as a key player in the global digital economy.

The rise of new technologies and an evolving business environment will drive further growth in India’s software and IT services sector, reinforcing its position as a global technology powerhouse.

Richa Kaushik

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