Indian manufacturers to spend Rs 408 bn on IT in 2013

by CXOtoday News Desk    Feb 06, 2013

Indian manufacturers

Indian manufacturers and natural resources firms will spend Rs 408 billion on IT products and services in 2013, an increase of 9.1 percent over 2012 that clocked revenues of Rs 374 billion, according to research firm Gartner. The forecast includes spending by manufacturers and natural resource companies on internal IT including personnel, hardware, software, external IT services and telecommunications.

According to Gartner, telecommunications remain the biggest spending category overall in the manufacturing and natural resources industry, and it is expected to reach Rs 132 billion in the next one year. Meanwhile, software is achieving the highest growth rate amongst the top level IT spending categories – forecast to exceed 15 percent in 2013, with especially strong growth forecast for ERP, SCM, CRM, desktop software, and manufacturing-specific applications.

Gartner also anticipates very high demand for consulting services as manufacturers plan for these implementations, forecasting growth of over 22 percent in 2013 alone.

“Despite India’s slowing economic growth, manufacturing and natural resources remain large and important sectors in the Indian economy, and they are attracting increased IT spending to improve productivity and competitiveness,” said Ken Brant, research director for manufacturing at Gartner.

According to him, Indian manufacturers are seeking to use IT to make process improvements and information from across manufacturing operations more transparent and actionable.