New Gov­ern­ments, New Ex­pec­ta­tions

IT part­ners are com­ing up with their wish lists for the new gov­ern­ments

DQ Channels - - Channel Pulse - ANKIT PARASHAR/(ankitp@cy­ber­me­ and ANUSHRUTI SINGH (anushrutis@cy­ber­me­

IT part­ners are com­ing up with their wish lists for the new gov­ern­ments

New Govt has come but we need some time, then we will score a de­mand or take some ac­tion, as it is too early to com­ment

The elec­tions are over across five states and the new gov­ern­ments have started op­er­at­ing in full scale. While Didi and Amma beat anti-in­cum­bency hand­somely to come back in Ben­gal and Tamil Nadu re­spec­tively, LDF re­gained power in Ker­ala af­ter one term and BJP-led NDA treaded un­charted ter­ri­to­ries with vic­tory in As­sam. The IT mar­kets in these states were gen­er­ally happy with the re­sults and ex­pect growth to con­tinue with the new gov­ern­ments.


The Bharatiya Janata Party (BJP) bagged its name in the elec­toral his­tory of As­sam when Sar­bananda Sonowal took the oath of of­fice as the first BJP chief min­is­ter of the state. Ten other min­is­ters were also sworn in at a cer­e­mony fol­low­ing elec­tions that gave As­sam its first ma­jor­ity govern­ment of the BJP-led Na­tional Demo­cratic Al­liance (NDA). Prime Min­is­ter Naren­dra Modi at­tended the swear­ing-in, along with se­nior lead­ers and Union min­is­ters of the party. Dur­ing the cer­e­mony Modi said the Union govern­ment will work along with the As­sam govern­ment for the de­vel­op­ment of the state. The DQ Week in­ter­acted with few IT part­ners in As­sam and got to know that IT com­mu­nity is re­ally ex­cited and happy on the vic­tory of BJP led NDA and hop­ing lots of dig­i­tal­i­sa­tion and de­vel­op­ment in the field of IT sec­tor.

Deepak Chaud­hury, East­ern Tech­nol­ogy Group, Guwa­hati said, “We are fac­ing lot of busi­ness prob­lems due to on­line chal­lenges. On­line is a ma­jor threat in our busi­ness prac­tice. Our next govern­ment should think about this on­line chal­lenge in IT mar­ket. Also, govern­ment should de­velop IT hub in As­sam. IT in­fra­struc­ture should de­velop strate­gies for hike for the IT mar­ket. We are sure NDA will grab this op­por­tu­nity and will keep their eyes in de­vel­op­ment of As­sam and IT sec­tor”.

Sa­jal Das, Di­rec­tor, SOFTDTA re­acted on the same and said, “With a BJP govern­ment at the cen­tre, the govern­ment should per­form. The Lok Sabha elec­tions are due in 2019 which gives the state govern­ment a lit­tle over two years to show re­sults and ful­fil the prom­ises it made. We are also ex­pect­ing the pro­gr­mme Dig­i­tal In­dia ex­e­cuted and im­ple­mented by cen­tral govern­ment will also ben­e­fi­cial for As­sam as well”.


Af­ter the re­sult has come out for leg­isla­tive as­sem­bly elec­tion in West Ben­gal on May 19, All In­dia Tri­namool Con­gress (AITMC) un­der Ma­mata Banerjee was re­elected with an en­hanced ma­jor­ity con­test­ing alone and is the first rul­ing party to win with­out an ally since 1962 in West Ben­gal. Like in 2011 elec­tion, the poll is be­ing held in six phases and AITMC has got 211 seats out of 294. There was a dra­matic change in ma­jor­ity by AITMC and tak­ing this for­ward, IT part­ners in West Ben­gal ap­pre­ci­at­ing, wel­com­ing and sup­port­ing the de­ci­sion of democ­racy.

In an ex­clu­sive in­ter­view with The DQ Week, Chan­nel part­ners of West Ben­gal shared their views on Elec­tion re­sult in WB.

Pawan Jajodia, Pro­pri­etor, Mo­hit elec­tron­ics and Past Pres­i­dent, Com­puter As­so­ci­a­tion of East­ern In­dia (COM­PASS) said “IT part­ners in WB are happy and ex­cited with the as­sem­bly elec­tion re­sult. As per the IT per­spec­tive, we are ex­pect­ing that VAT on some net­work­ing prod­ucts that has charged at 14.5% should re­duce to 5%. That will re­ally give lots of sup­port in terms of main­tain­ing mar­gins for chan­nel part­ners”.

Ra­jat Sa­boo, COM­PASS (Com­puter As­so­ci­a­tion of East­ern In­dia) Pres­i­dent added, “Govern­ment should think about the de­vel­op­ment and in­dus­tri­al­i­sa­tion in West Ben­gal. Plant­ing new in­dus­tries in the state will in­crease the de­mand of IT prod­ucts. There are some MNC’s are look­ing to in­vest in Ben­gal will surely boom the IT mar­ket and em­ploy­ment in WB”.

Neeraj Agar­wal, Sec­re­tary, COM­PASS said, “AITMC had their man­i­festo ‘In­dus­try Growth in Ben­gal’ at the time of their cam­paign­ing. But it was not spec­i­fied that In­dus­try growth has to take place in IT sec­tor. So we are re­ally ap­pre­ci­at­ing the man­i­festo of the newly elected govern­ment if there is some for IT sec­tor as well. In­dus­tri­al­iza­tion will play a ma­jor role in growth in IT mar­ket in WB. Also, with­out mi­grat­ing to an­other city, new gen­er­a­tion will get em­ploy­ment af­ter the set­ting up of in­dus­tries in Ben­gal”.


Elec­tions are over in Ker­ala. Out of 140 seats, ma­jor­ity win goes to CPI(M) with 58 seats. CPI(M) Pi­narayi Vi­jayan sworn in as new CM. Ker­alite IT part­ners are pa­tiently wait­ing for new Govt to take ac­tions in IT sec­tor and are will­ing to give time. Here are some re­ac­tions of IT part­ners catched on tele­phonic chat.

While James Joseph of All Ker­ala IT Deal­ers As­so­ci­a­tion said, “We ex­pect growth in IT mar­ket but we can’t say what new Govt. is go­ing to do for us, so we are look­ing for­ward.”

Gelix Ge­orge of Dig­i­tal World, Thris­sur said, “New Govt has come but we need some time, then we will score a de­mand or take some ac­tion, as it is too early to com­ment, but, we have lot of is­sues, not only re­gard­ing state Govt, but also we have var­i­ous is­sues which are needed to ad­dress.”

Guru In­fosys owner Bai­jlesh Kr­ishna of Kot­tayam is ex­pect­ing Govt to give a so­lu­tion to on­line is­sue, he said,”we wel­come new Govt, and we are look­ing for­ward to see what steps they will take for IT sec­tor, we ex­pect that Govt will take a look on On­line is­sue we are hav­ing as our off­line busi­ness is badly ef­fected.”


In Tamil­nadu AIADMK has bet­tered its vote share. Elec­tions were held only to 232 out of the 234 As­sem­bly con­stituen­cies. AIADMK bagged 134 seats while DMK got 89 seats.

IT part­ners in Tamil­nadu wants govern­ment to give re­lief in taxes, Rav­is­hankaran, Pres­i­dent of Tirupur IT as­so­ci­a­tion said, “We are fac­ing prob­lems with on­line is­sue, peo­ple sell­ing on­line, deals with other states to in­duce in Tamil­nadu and due to this sales tax is not paid to lo­cal govern­ment, we have to ad­dress this is­sue. Sales tax in state is 5% while CEC is 2%, for eg On­line store is deal­ing Bengaluru to Tamil­nadu then state govt is loos­ing 5% of sales tax. And we also can’t com­pete to on­line stores as we are pay­ing dou­ble amount of taxes.”

Aimm Com­put­ers, owner, P. Shan­mugam told us,” We want GST to come as soon as pos­si­ble as we are hav­ing is­sues with taxes, ser­vice tax and VAT dou­bles are burden in do­ing busi­ness.”

Ku­mar P of Albedo sys­tems is happy what state Govern­ment has al­ready done for IT sec­tor, he said,” the Govt has done a very good job in IT ac­tiv­i­ties, there is no prob­lems.”

Some IT part­ners are do­ing busi­ness peace­fully and are sat­is­fied with what mar­ket is of­fer­ing them. Venu­gopal of Indi­com Sys­tems, Thiruvananthapuram said “Right now it is dif­fi­cult to say any­thing as new Govt will start work­ing, we have to give them some time”

More on the web: Read the com­plete story at www dqchan­

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