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TN unveils rural BPO policy
BS Reporter / Chennai Aug 18, 2010, 00:51 IST

The Tamil Nadu government has unveiled a Rural Business Process Outsourcing (BPO) policy, adopting an incentive-based approach to encourage establishment of BPOs in rural areas. The new policy is an outcome of the success of rural BPO units in Sanasandiram Chennathur panchayat in Hosur block, three years ago.

“Tamil Nadu being a major Information and Communication Technology (ICT) Hub and with the ICT industry now expanding to Tier II, Tier III cities, and towns and indeed into villages in Tamil Nadu, it is indispensable to have a comprehensive Rural BPO policy to increase employment in the rural areas of state,” the state government's order said.

The two forms of subsidy - capital and training -- will be given to BPO units located in village panchayats. A BPO unit can avail itself of both categories of subsidy and may get a total of Rs 7.5 lakh.

The state Information Technology department, will play the role of a facilitator in exchanging information with the BPO industry. It will also help to find interested institutions, both educational and otherwise, which would want to partner with BPO units.

A 15 per cent capital subsidy will be provided on investment subject to a maximum of Rs 3 lakh to any unit that is functioning for a minimum of three years and that has been directly employing a minimum of 100 trained persons in the unit.

This subsidy will be back-ended and paid in three equal installments at the end of each year. As for the training subsidy, the cost of training would be shared by the government and the company concerned. The government will provide Rs 1,500 per month per person for three months, the duration of a normal period of skill building training for a BPO unit.

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