MAIT congratulates Chidambaram

New Delhi

March 1, 2007

The Manufacturers' Association for Information Technology (MAIT) welcomed the
thrust given in the Union Budget to sustaining the national economic growth and
making it inclusive.

The apex body representing India's IT hardware, training and R&D services
sectors, expressed satisfaction that the Government has announced several
schemes towards promotion of education especially among the socially and
economically backward.

Congratulating the finance minister, P Chidambaram, Vinnie Mehta, Executive
Director, MAIT, said, "We welcome the government's decision to maintain the
current excise and custom duty levels on IT products. The hardware industry
supports long-term stability in policies and duty structures as frequent changes
could adversely impact the investment and business plans of the industry. The
last fiscal witnessed impressive growth in IT consumption as well as
manufacturing investments and we are confident this momentum will continue this
financial year. Further, the focus given on education is indeed very welcome as
developing suitably skilled human resource is critical to sustain the
competitiveness of the IT sector as a whole."

"We also welcome the increase in budgetary allocation for e-governance
at the centre by 82 per cent to Rs 719 crores and to state Governments by 66 per
cent to Rs 500 crores, in addition to the decision to computerise the public
distribution system and the Food Corporation of India. These steps will provide
further impetus to the industry," added Mehta.