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Archive > Infotech for > January

January 24, 2000

State lags behind in IT race

Mere big announcements for the development of information technology (IT) in a state will not serve any purpose. What is more important for any government is to implement such announcements in right earnest and within the stipulated period".

These were the words of technocrat Sam Pitroda at the foundation laying ceremony performed over 11 months ago for the ambitious Infocity planned by the government on 200 acres near Gandhinagar to attract world-class software companies.

Pitroda’s words seem to have been prophetic, for the multi-crore Infocity project is yet to take off. Except for the foundation stone, no civil work has started. And confusion still prevails in the corridors of power over how long it will take to realise the government’s dream project. "The lack of direction and political will, among other things, seems to have contributed to the delay", a senior official said.

And, in its desperate attempt to send a message to the people that it is an "IT-savvy" government, the ruling BJP bosses have roped in Gujarat Narmada Fertilizer Corporation (GNFC) to venture into the software industry. About three months ago, Chief Minister Keshubhai Patel inaugurated an Infotower in a six-storey building purchased by the GNFC on the Gandhinagar-Sarkhej highway. Only two software companies are operating there.

"The government had announced a host of committees since its announcement of the Infocity near the State Capital. Meetings are being convened at regular intervals, where prolonged deliberations are held on how to go about the development of IT the State. But, nothing concrete is emerging out of these meetings", complained an exasperated officer.

On one hand, the GNFC has erected a "white-elephant" in its Infotower, which involved an expenditure of about Rs 50 crore, and on the other, another public sector unit - Gujarat State Fertilizer Company (GSFC) - has decided to diversify into the software industry. The GSFC has already purchased land near Vadodara to set up an IT park. A prominent firm Larson and Toubro (L&T) will develop the GSFC IT park.

Gujarat Informatics Ltd (GIL), an autonomous body floated by the government, had invited global tenders in May last year to develop the Infocity near Gandhinagar. Out of the nine bidders, three had reached the final stage of the bidding. Finally, Creative Choice, a company owned by Florida-based Gujarati NRI Dilip Barot, had expressed interest in developing the project, with the L&T and the Hyderabad-based IVRCL firms having backed out.

"Let’s hope our Non-Resident Gujarati sticks to his promise. We expect Creative Choice to submit its technical compliance report to .the government in a week’s time. After this, the price bid will be opened and a Letter of Intent issued in the next two to three weeks to the developer.

Following this procedure, the bidder will prepare a detailed project report in two months and the work on the Infocity is expected to be completed in two phases over the next 18months", a GIL officer said. Though the price bid is yet to be opened, the project cost is estimated at around Rs 100 crore.

As if the formation of companies and committees to ensure speedy IT development is not enough, the GIL has decided to create an Infotex B (information technology extension bureau) at the GNFC’s Info-tower to market the Infocity ‘project through e-mail. "The bureau, to be inaugurated on January 30, will inform IT players at the national and international level about the government’s IT policy, the various incentives available under the policy and the facilities to be created at the Infocity," says the officer.

The prohibition policy being enforced in the State is also one of the irritants frustrating the government efforts to attract software entrepreneurs from India and abroad. "This is a young industry, involving mainly young professionals. Recreational facilities proposed to be created at the Gandhinagar Infocity will be inadequate without liquor", contends a senior official.

Despite all its big announcements and publicity blitzkrieg, Gujarat is yet to build up its image ‘on the IT industry front. "Gujarat is lagging far behind other States in software exports, with its exports expected to touch the Rs 30 crore mark by the end of the current financial year. Karnataka tops the list with software exports of Rs 4,500 crore, followed by Delhi Noida (Rs 1,500 crore) and Andhra Pradesh (Rs 450 crore). Even places like - Pune and Mumbai are much ahead of Gujarat in this respect", informs the officer.

When contacted Minister of State for Information Technology Bimal Shah, maintained that there was no delay, whatsoever, in implementing the ambitious Infocity project. "It does take time to complete formalities relating to global bidding as it is such a huge project. Anyway, these are on the verge of being finalised", he said.

Responding to a query, the minister said it was wrong to say that software entrepreneurs were reluctant to come to Gujarat. "Besides erecting two world-class Infotowers and creating infrastructure facilities at the Infocity site; we will provide social infrastructure facilities such as English medium school,’ club houses, gold club, swimming pool, community and fun parks, executive residential block, jogging track and transportation facilities", Shah said.

Compiled from local news media

 

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