I am happy to launch the third volume of the Dun & Bradstreet publication series on small and medium enterprises, Emerging SMEs: Chennai 2008. This publication will prove to be a valuable resource on SMEs located in Chennai and nearby areas, as well as provide them a platform to reach out to potential clients. Dun & Bradstreet's global footprint and market reach will ensure that this publication series is established globally as the premier information resource on the SME segment.

The book covers SMEs in the auto components, engineering, IT & ITeS-BPO and leather products sectors in and around Chennai. While the engineering sector has always played an important role in the economic development of India, the IT & ITeS-BPO and auto components sectors have emerged as positive drivers of economic growth in the last few years.

With increasing opportunities in the domestic and international market, the scope and role for SMEs in the auto components, engineering, leather and IT & ITeS-BPO sectors has increased manifold. The auto component industry today is proving to be one of the fastest growing sectors in the world economy with a global turnover of US$ 185 billion. Global spending on the IT & ITeS-BPO sector reached US$ 1.5 trillion in 2006, recording a growth of 7.7%, y-o-y, driven by global economic growth and positive business earnings. This is expected to keep providing a growth impetus to the IT & ITeSBPO sector in India. Opportunities also look strong for the leather & leather products sector given that India has the largest livestock population in the world, coupled with a long-established leather industry. Through this publication, D&B has sought to profile the emerging SMEs in these segments in the Chennai cluster.

The cluster approach, in particular, has proved efficient in terms of gaining credit facility, risk sharing, policy and institutional development and technical & marketing assistance. Globally, as well as in India, SMEs have used the cluster based approach to garner support through collective bargaining power, governmental policy, regulatory and institutional reforms, capacity building and initiatives for supporting efficient SME financing and business development services. The overall climate is proving conducive for the SMEs to graduate not just from small to medium, but also from the national to the global arena.

Dun & Bradstreet shall endeavour to continue meeting your high expectations of Emerging SMEs: Chennai 2008. I look forward to receiving your feedback and suggestions.

David J. Emery
President
International Partnerships & Asia – Pacific