The diplomatic war between India and Canada is now affecting the economy as well. Big companies like Mahindra Group and JSW Steel have already given a big blow to Canada in this matter. In such a situation, if big IT companies like TCS, Wipro and Infosys also close their business with Canada, what harm will it cause to its economy?
Indian IT companies Infosys, TCS and Wipro have been investing heavily in the Canadian economy. Besides, these companies also provide employment to thousands of people there. In such a situation, if the tension between India and Canada increases, and companies have to close down their business, then Canada may suffer a big economic dent.
There are 8000 jobs in Infosys
India’s leading IT company Infosys has opened its centers in Toronto, Calgary and Vancouver, Canada. To handle its operations in Canada, Infosys has formed a subsidiary of its American unit Infosys Public Services (IPS). The headquarters of the Canadian operations are in Ottawa, where the company’s office is spread over a large area of more than 10,000 square feet.
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Recently IPS Canada had announced that it will expand its operations in Canada, which will provide employment to a total of 7,000 people. Whereas by the end of 2024 their number will reach 8,000.
TCS and Wipro also have big business
Other Indian IT companies TCS and Wipro also have big investments in Canada. Wipro Limited runs the ‘Wipro-AWS Launch Pad Centre’ in Toronto. This center provides cloud solutions to the people of Canada. At the same time, TCS has such a big business in the US and Canada combined that it has helped half of the Fortune 500 companies to become big.
However, in a statement from NASSCOM, an organization of Indian IT companies, it has been said that the India-Canada dispute has not yet given rise to such a situation due to which any immediate decision has to be taken and there is no need to worry about it.
Mahindra and JSW have given a shock
Meanwhile, Anand Mahindra’s Mahindra & Mahindra Group has closed the operations of its subsidiary company Reson Aerospace Corporation. However, it is not clear whether this has any direct connection with the India-Canada dispute. Similarly, JSW Steel was going to make a deal with Canada’s Teck Resources, which has now been slowed down.
The reason for the dispute between India and Canada is the round of allegations and counter-allegations regarding the murder of Khalistan terrorist Hardeep Singh Nijjar. Canada has expressed suspicion of India’s involvement in this murder. India has been continuously denying this allegation.