March, 2005

Another industry that is waking up to India’s attraction as a business process outsourcing destination is the shipping industry. Shipping companies from all over the world have either set up their operations here, or are in the process of establishing new shops in IT-savvy India. The Danish major Maersk Infotech, which already employs over 1,000 professionals in its facility in Mumbai, is now ramping up operations. The operations of Maersk, the world’s largest container shipping company, includes a whole array of business processes such as auditing, preparation of bills of lading and updating the company’s intranet. The Japanese Mitsui OSK Line (MOL) is the latest entrant to India, while another Japanese major NYK and Northern Marine of the US are believed to be in the process of setting up a shop in India.

The UK-based P&O Nedlloyd and CP Ships of the US have already established their operations in India — in Pune, Mumbai and Chennai.

March, 2005

According to data gathered by United Nations Conference on Trade and Development (UNCTAD), India is currently home to 228 offshoring projects, followed by Britain’s 187, China’s 132, America’s 123, Canada’s 98, and Singapore’s 95. Behind Singapore are Germany and Ireland with 77 each, Australia with 72, and the Netherlands with 52. In Europe, UK is the clear leader with 20 per cent of the value of the worldwide contracts awarded last year. Germany, though played a key role in boosting Europe’s ranking, with its share jumping to 12.5 per cent from less than 1 per cent four years back.

Mega-contracts from UK including HSBC, National Rail Enquiries, Aviva and Lloyds TSB insurance hit the headlines in India last year.

March, 2005

The Union Cabinet has recently approved the draft National Rural Employment Guarantee Bill, ensuring at least 100 days of casual employment at a prescribed wage rate annually to one member of every poor rural household.

The Cabinet has also cleared the draft Right to Information Bill, 2004, which will replace the Freedom of Information Act, 2000. The Bill, when passed, will give citizens the right to seek information from Government establishments.

Another important decision taken was to amend the Hindu Succession Act, 1956, giving equal rights to daughters in ancestral property. The Child Marriage restraint Act, 1929, will also be repealed and a new Prevention of Child Marriage Bill, 2004, introduced. The enactment of the proposed legislation will implement the recommendations of the National Human Rights Commission and the National Commission for Women substantially and would help usher in social change.