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Home > Business > Business Headline > Report

Outsourcing a problem for US firms, not for India: Advani

Aziz Haniffa in Washington DC | June 11, 2003 12:47 IST

Deputy Prime Minister L K Advani said he did not take up the 'outsourcing' issue with President George W Bush as it was not a problem for India but a concern for American companies which are seeking to cut costs to remain competitive.

Advani said at a press conference at the end of his two-day official trip to Washington that this was something that American companies have to deal with.

Advani's statement comes soon after Commerce Minister Arun Jaitley said that the issue of some American states' bid to halt outsourcing of work to India has been taken up by New Delhi at the highest levels in the US and will be a top priority on his agenda when he visits Washington this week.

"Before starting from India, I was posed this question -- that certain states in the US are thinking of a legislation against outsourcing," Advani recalled. "Journalists asked me if I proposed to take up this matter with the American government, (and) my answer was 'no.'"

"I had no such intention because when any company in America, or Britain or Germany, decides to ask Tata Consultancy Services or Infosys Technologies or any other Indian firm to help it as far as outsourcing is concerned, it (the US company) does so for its own commercial gains," Advani said.

"It (the US company) is not in any way helping India. Its objective is not to help India or to help that (Indian) company. No. So if any US state feels this is not in its interest, let them take a decision," he argued.

"At least India on its own is not going to plead on this issue," Advani said, contradicting Jaitley's proposed priority issue on his agenda.

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Number of User Comments: 21

Sub: Well said

Advani is absolutely right in indicating that this is a commercial/ business issue between 2 enterprise in US and India. If the US states want ...

Posted by ShankarK

Sub: BPO

Our hon Dy PM's statemenet definitely sounds swadeshi but thinking in broad terms, it sounds very foolish for the very simple reason that its a ...

Posted by Basanth

Sub: Outsourcing

It looks like many commenters do not understand the way political system and Fedaral & State's jurisdiction about passing/implementing of different laws are concerned. U.S.Fedaral ...

Posted by Bankim

Sub: Outsourcing not a problem

Advani gives clear insights which few politicians or economists are capable of providing. US industries will outsource in India as long as India provides technical ...

Posted by v pandit

Sub: BPO

Looking at Current IT Situation , and problem of tons of professional Un-employed , We should be in favour of opening more doors for BPO ...

Posted by Amish Shah



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