Quota will harm outsourcing hub image

New Delhi: India's aim to become a manufacturing services outsourcing hub could be quashed if admission to prestigious institutions like the IIMs and IITs are based on a caste quota rather than students' merit, read a statement by Associated Chambers of Commerce and Industry (ASSOCHAM) on Monday

"It is unfortunate that the Government wants to promote and increase the reservation in reputed Centre-run universities, engineering colleges and institutions like the IIMs and IITs at a time when India is fast emerging as a top quality global hub for outsourcing, both in the services and the manufacturing sector," ASSOCHAM President, Anil K Agarwal said.

Agarwal also stated that if half the students were given admission without merit, then the quality of students passing out of these institutes was bound to suffer and would not match global standards.

This, in turn, would shift outsourcing to the competing countries like Brazil, China, Israel, Eastern Europe and the South-East Asian countries, he added.

"Jobs in BPOs, KPOs (Knowledge Process Outsourcing), global R&D centers and the manufacturing facilities - like automobiles, pharmaceuticals and software development - would get diverted to competitors and India will lose out," he said.

"If the government goes ahead with the proposed hike in seat reservation, we may be faced with a situation where there would not be enough jobs left for the pass-outs from these colleges," added Agarwal.

ASSOCHAM also had other concerns like the trend of the multi-national companies lining up for placements from Indian colleges may reverse, if quota prevails over merit.

Offering a solution to the problem, Agarwal said that an increase in the number of professional colleges and universities was the answer to empower the socially and economically backward classes.

Besides, students from the backward classes should be given monetary help to advance their skills and faculty to compete with other meritorious students.

"Not many students from the backward classes can afford coaching classes in the private sector. The Government can tie up with these coaching centers and bear part of the tuition fee for students from weaker sections. Once they are empowered to compete, the social divide would become meaningless," Agarwal said.