The government told the Rajya Sabha on Thursday that US firms, outsourcing business services to India and other countries, were opposed to the controversial New Jersey bill that seeks to prevent cheap outsourcing from other countries.

Responding to clarifications during Question Hour, Minister for Communications and Information and Technology, Arun Shourie said with active support from the Centre, National Association of Software and Service Companies has been working very closely with US policy makers, media, legislators, customers and US industry associations to highlight benefits of outsourcing.

A NASSCOM delegation visited the US in March this year and held meetings in New Jersey, Maryland and Washington.

It had also hired a reputed public relations firm to educate the concerned persons and authorities in the US on behalf of the Indian IT industry in this regard, he said adding the Indian government was prepared to provide assistance of up to Rs 5 crore (Rs 50 million) for the purpose.

Shourie said the US firms had stated that their goods and services would not be competitive if they are not allowed to take advantage of cheap outsourcing from India.

There are 186 call centres in India employing 73,300 educated people, Shourie added.

The service exports in value terms as a result stood at Rs 2,470 crore (Rs 24.7 billion) last year, growing at a rate of 30 per cent, he said.