New Delhi (PTI):

South Indian states, which have the reputation of being pioneer in IT are lagging behind Gujarat, Maharashtra and Delhi in terms of adopting IT in the manufacturing units, a study said.

Out of the 15 states namely — Kerala, Karnataka, Maharastra, Gujarat, Madhya Pradesh, Rajasthan, Delhi, Haryana, Punjab, Uttar Pradesh, Bihar, West Bengal and Orissa the southern states of Andhra Pradesh and Tamil Nadu are less computerised, a study by IT major Microsoft, India Development Foundation and LexisNexis Butterworths has said.

The study further said that greater computerisation of factories is not linked to IT production in a specific geography.

“Within these 15 states which accounts for more than 90 per cent of all factories in India, contrary to all expectations, Andhra Pradesh (ranked 14) and Tamil Nadu (ranked 11 ) are among the lesser computerised states,” Dr Subhashis Gangopadhyay, economists and one of the authors of the book based on the study said.

Tamil Nadu has the highest number of manufacturing industries in the country, but less than 40 per cent of its units are computerised, compared to more than 60 per cent in Maharastra, Gujarat and Delhi, he said.

The study also pointed out that the current consumption of technology by Indian industry is alarmingly low. Only 20 per cent of the software produced in the country is meant for internal consumption.

“Despite India’s IT export prowess, there is an alarmingly low internal consumption of technology. About 80 per cent of software produced in this country is towards export,” he added.

Despite documented evidence proving the benefits of technology investment in manufacturing, Indian businesses still have low adoption rates.