Tamil Nadu wants business process outsourcing companies to set up operations in village panchayats by offering attractive subsidies.

The State Government has announced ‘Enhanced Rural BPO' Policy to encourage existing BPO units/entrepreneurs to set up their branches in any village panchayat.

The Information Technology Department plans to provide capital subsidy, training subsidy, transport facility and exemption from payment of security deposit, earnest money deposit and cost of tender for those companies setting up the facility in such areas.

A State Government order says that a capital subsidy of 20 per cent will be provided on capital investment such as cost of hardware and equipment. This is, however, subject to a maximum of Rs 5 lakh to any rural BPO unit that has been directly employing a minimum of 50 trained seats in the unit.

The BPO industry's presence is limited to Chennai, its surrounding areas and a few select urban locations such as Madurai and Coimbatore. For a deeper penetration of the industry, specific policy initiatives will draw the industry to venture in to rural locations in the State is necessary, the Government felt.

The Information Technology Department will play the role of a facilitator for the BPO industry and help to find interested institutions – both educational and otherwise which would want to partner BPO units.

The ICT Academy of Tamil Nadu will be actively involved in training workers for rural BPO in the latest technology according to the industry's requirement.

The academy will also develop necessary IT-related course content for the rural BPOs and conduct the course for the workers, the order says.

Reacting to the order, an employee of a large BPO, who is not authorised to talk to the media, said normally the industry follows talent. It does not matter if it is available in Chennai or in a panchayat.

The offer of a subsidy is quite attractive for the industry, he said.

>raja@thehindu.co.in

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