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WILL THE BPO BOOM GO ON?: India has tasted phenomenal success in business process outsourcing. At least till now.

The size of the Indian BPO industry was estimated at Rs 11,700 crore (Rs 117 billion) in financial year 2002-03, up from Rs 7,100 crore (Rs 71 billion) in 2001-02 and Rs 2,400 crore (Rs 24 billion) in 1999-2000, a report by rating agency ICRA says.

The BPO sector's growth is creditable, even enviable. But will the picture remain as rosy in the future? Will India's BPO groovy train keep chugging along merrily? Or will it derail?

What are the threats that the Indian BPO sector faces? Let's find out…

India and Outsourcing: Complete Coverage

Staff members of Daksh eServices perform a Goan folk dance during a celebratory function. Daksh, one of India's largest independent BPO firms, has launched a facility in Manila, the capital of the Philippines.

Photo: Raveendran/AFP/Getty Images

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Also see: 10 great reasons to invest in India

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