India will again raise the issue of outsourcing with the US at the delegation-level talks in New Delhi next week. The talks will be led by the External Affairs Minister, Mr S.M. Krishna, while Secretary of State, Ms Hillary Clinton, will lead the 25-members US delegation.
“It is necessary to talk about this to protect the interests of the Indian IT industry. We will raise the issue (outsourcing) again,” said official sources.
Last year, before his maiden visit to India, the US President, Mr Barack Obama, had said that as President he had a responsibility to support jobs for the American people. On September 10, 2010, he had said that his administration would offer tax breaks for firms that created jobs in the US.
Though India has raised its voice against US moves to check outsourcing to Indian firms, some concerns still exist. Analysts feel that uncertainty is affecting Indian IT companies' operations in the US. Although official sources refused to divulge details about the agenda of the talks, India is expected to seek some assurance from the US on not taking strong policy action against outsourcing.
During Ms Clinton's visit, a host of agreements are likely to be signed, including on air safety, which is expected to benefit companies such as Hindustan Aeronautical Limited and Mahindra Aviation.
This is the second Ministerial-level dialogue in one year where talks will cover 18 sectors, including education and innovation, health care, among others.
Ms Clinton is arriving on July 18 on a two-day visit. Besides delegation level talks, she is scheduled to call on Prime Minister, Dr Manmohan Singh and the UPA Chairperson, Ms Sonia Gandhi. She will also meet the Finance Minister, Mr Pranab Mukherjee, Leader of the Opposition in Lok Sabha, Ms Sushma Swaraj, and the National Security Advisor, Mr Shiv Shankar Menon. Ms Clinton will fly to Chennai on July 20 for a day-long engagement.