Why India needs to raise its voice against America’s anti-offshoring policy

The anti-offshoring policy of America is really a matter to rethink for India and China, being the leading outsourcing countries. If we continue to brush it aside as a political issue, it will adversely affect our economy. It is therefore imperative that Indians take up this issue.

Re-shoring IT business is an emerging trend in America which may slowly replace offshore outsourcing in the long run.  American IT companies are increasingly hiring U.S locals to carry out their IT operations in house. Reduced risk of IP theft, increased profit margins, and local employment are the main advantages.

Though re-shoring is catching pace, shortage of skilled hands in the U.S may force them to continue with off shoring a little longer. NASSCOM claims that the technical services offered by Indian companies make U.S business processes more efficient. The demand for technical experts is greatly increasing in the U.S which in turn forces them to continue with overseas off shoring as long as they can.

America thrives on technological innovations and cannot afford to stop the entry of technical professionals as well as domain experts from India.

Another trend noted in the recent years is the establishment of Indian IT company centres in the US. In an effort to achieve better customer satisfaction, Indian companies are hiring American locals.  Of course, this is a win-win situation for both Americans as well as Indians.  IT giant, Infosys, recently started a center for BPM operations in Atlanta, hiring a majority of US staff. Better customer satisfaction with reduced cost is the objective here.

The political system of the U.S is influenced to a great extent through the process of articulation and lobbying.  Hence, Indians need to express their concerns to the American polity, who will not pay attention unless we aggressively do so. India has remained largely a non vocal community when compared to global economies.

As in the case of the nuclear deal policy where the voice of the Indian population was heard to a significant level, Indians should take a stand against the anti-outsourcing policy of the US.

America’s lobbying-led system can be tackled only by lobbying to protect our interests. India must conceive an effectual strategy to overcome the anti-off shoring issue, which if implemented, may adversely affect the revenue returns of hundreds of Indian IT firms and also the country’s employment scenario.

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