40% drop in electronic hardware exports

Computer exports showed the maximum decrease of 68 per cent from Rs 1,250 crore in 1997-98 to Rs 400 crore in 1998-99 followed by consumer electronics products, export of which dropped by one-third to Rs 400 crore.

Exports of communication and broadcasting equipment fell by 30 per cent from Rs 100 crore in 1997-98 to Rs 70 crore in 1998-99, and for industrial electronics products, the drop was 20 per cent.

Export of electronic components dropped by around 10 per cent and that of strategic electronics products did not show any growth during the period. Softwareexports rose by 69 per cent in 1998-99 from Rs 6,500 crore in 1997-98 to Rs 11,000 crore — the highest in the last five years, the report said.

Meanwhile, as per a study on 39 computer companies, the aggregate sales rose by 11 per cent to Rs 17,011 crore during 1998-99 from Rs 15,326 crore during 1997-98. Operating profit of these companies rose significantly by 24.1 per cent from Rs 3,885 crore to Rs 4,823 crore in 1998-99. Gross profits (profit before tax plus depreciation) of the above number of companies also rose by 21.5 per cent to Rs 3,280 crore in 1998-99 from the level of Rs 2,698 crore in 1997-98. Profit before tax (PBT) on an annualised basis rose by 19.3 per cent to Rs 2,354 crore in 1998-99. Post tax profits, which are allocated between dividends and retained earnings, went up to Rs 1,878 crore during 1998-99 from Rs 1,592 crore in 1997-98.