India not singled out in visa fee hike, says US

South Korea and Taiwan would also pay more visa fee

PTI | November 8, 2010



The US today sought to assuage the IT industry here, saying India had not been singled out on the issue of rise in visa fee, a move that raised the hackles of technology firms.

"Indian IT firms had not been singled out in this regard and countries like South Korea and Taiwan would also pay more for it," US Commerce Secretary Gary Locke told a private news channel.

The US government had decided to increase the visa fee to raise an additional USD 600 million to beef up security border security along its border with Mexico.

The US accounts for about 60 per cent of India's total USD 50 billion IT and IT enabled services exports.

The visa fee hike, termed as discriminatory by India, was followed by US state Ohio banning outsourcing of government IT projects, a step that further irked the Indian players. Both these moves coincide with a fragile recovery in the US economy coupled with high unemployment levels.

Indian IT industry's apex body Nasscom had said the US Border Security Bill has logical flaws and is discriminatory in nature.

Asked if other US states would follow Ohio's ban on outsourcing work to foreign companies, Locke said that India had been affected as it was not a signatory to the Government Procurement Agreement (GPA) under the WTO.

The visa fee hike, which came into effect from August this year, is expected to add USD 250 million to Indian IT sector's annual visa costs. The Visa fee was hiked by about USD 2000.

The impact had perhaps appeared disproportionate as a large number of visas for the professionals are applied for by India, Locke said.

The GPA is a pact that deals with the issues relating to government purchases.

President Barack Obama, who is on a three-day visit to India, in September had suggested that tax breaks could be ended for companies outsourcing work overseas.

The Indian IT industry, however, has denied the charges that it was the reason for job loss in the US. In fact, the industry claimed that it was the only sector that created jobs there and that job losses were in manufacturing, retail and other industries.

"...We in India are a part of the solution and not the problem (unemployment)," Nasscom President Som Mittal said.

Mohandas Pai, Director-HR and Board Member, Infosys Technologies said: "The visa issue is getting very ugly. it is not that we are taking away jobs from America."

 

Comments

 

Other News

Railways imposed ₹5.13 crore fine for food quality and hygiene violations

Indian Railways serve about 58 crore meals every year on an average. About only 0.0008% food quality related complaints are received on average. Based on complaints during the last three years, appropriate penal actions have been taken by IRCTC. Such actions include imposition of fines amounting to ₹5.13

STHAVAR: Why every Indian built asset needs a permanent digital identity

India has built digital systems for identity, payments, taxation, documents, logistics and public services. State governments, ministries, infrastructure agencies and urban local bodies have also created portals for land records, building permissions, project monitoring, property taxation and municipal s

Saksham Skill census identifies 22,000 job-ready candidates in one Mumbai ward

A first-of-its-kind AI-enabled skill census conducted in Mumbai`s H-West Ward has identified a potential livelihood pipeline of nearly 22,000 candidates, generated over 32,000 provisional job matches while revealing that 71.2 per cent of surveyed homemakers are willing to join the workforce, according to

GI tags: Scaling traditional wealth into global brands

Geographical Indication (GI) tags have emerged as a powerful tool for protecting India`s cultural heritage, while creating economic opportunities for local communities. By linking products to their place of origin, GI tags preserve traditional knowledge, prevent misuse, and enhance consumer trust. They h

BMC: 207 officials in ACB net, 112 still on duty, 68 retire before justice catches up

There are significant delays in the handling of corruption cases involving officials of the Brihanmumbai Municipal Corporation (BMC), a Right to Information (RTI) response obtained by rights activist Jeetendra Ghadge has revealed. As of 30 April 2026, 207 BMC officials face Anti-Corruption Bureau (A

The transformation trap: Why efficiency is not innovation

Every company is transforming, or so it claims.   There was a time when the word ‘transformation’ carried weight. It signified bold strategic shifts, reinvention of business models, and breakthrough technologies that fundamentally changed how organizations created

Upcoming Conferences



-->

Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter