Seeking to assuage concerns of IT industry, Union Minister Ravi Shankar Prasad on Friday said government will “respond” in a coordinated manner in case the new Donald Trump administration takes any decision that has potential bearing on the sector.
The minister’s comments come at a time when the USD 110 billion Indian IT industry is on wait-and-watch mode to see if Donald Trump, the US President-elect, will convert his anti outsourcing election campaign slogans, into policy action. Congratulating the President-elect, Prasad said that once Donald Trump takes his office, “if certain issues come, the matter will be taken up at the Government level where apart from the IT Ministry, Ministry of Commerce, and Ministry of External Affairs, all the three have to work in coordination.”
“...whatever ultimate decision and initiative are taken by the new Donald Trump administration, we will respond...but surely I am very proud of the contribution of the Indian IT industry in the American economy in creating jobs, giving huge tax revenue and also (fulfilling) corporate social responsibility,” the minister said while addressing the Economic Editors’ Conference here.
The minister was responding to a specific query on whether the outcome of the US Presidential elections would have any negative fallout for the Indian tech industry, given Trump’s anti-outsourcing posturing during pre-election campaigns.
Lauding the role of Indian IT companies in the growth of the US economy, the minister said that the industry has supported 4.10 lakh jobs in the US in 2015, through American operations. “This 4.10 lakh is very big number, and over 95 per cent of these are Americans. Indian IT industry investments are to the tune of USD 2 billion between 2011-13,” the minister said.
In the four-year period between 2011-15, Indian IT industry paid USD 20 billion in taxes, he pointed out.
“I am very proud of Indian IT companies...they are paying heavy taxes to the tune of USD 20 billion, creating huge jobs and fulfilling corporate social responsibility in healthcare and education, philanthropy. It has impacted American lives...,” he said.
Earlier this week, Trump who during his high-decibel campaign had advocated tightening of visa norms for skilled workers and taking jobs back to America beat rival Hillary Clinton in the race to be the next US President.