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At a standstill

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DQW Bureau
New Update





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Siliguri has become one of the most prominent markets in eastern India,

thanks to its geographic location. The city is situated on one of the oldest

trade routes in India, linking the entire north-east region with the rest of

India. It is due to its positioning that the market has gained momentum

primarily in the government sector.

“In Sikkim, the government caters to most of our business. Supplies for the

Sikkim government are also purchased in Siliguri and therefore, it has become a

crucial market for the city too. Retail also comprises of a major segment in the

city. However, government and PSUs are our major customers,” said Gagan Joshi,

Director, Landmark Office Systems.

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Besides catering to the local markets in North Bengal and Sikkim, the city

also caters to international markets in South Nepal and Bhutan. In recent times,

Darjeeling entered into a phase of standstill after the recent Gorkhaland

agitation. Business was severely affected in Siliguri due to the

non-availability of supplies in the hills, because of the blockage of the road

to Assam.

There are several major national distributors in the area. While Rashi and

Compuage have warehouses based in Siliguri; Ingram, Redington and others have a

crucial supply chain management in the area.

Gagan Joshi,

Director, Landmark Office Systems
How has been the market since last

year?



Siliguri has seen a considerable growth since the inception of the IT market

here. However, owing primarily to the global slowdown, there hasn't been any

significant growth this FY.

What are the major verticals in the market?


Government purchases in Sikkim account for majority of the sales. Also, the

PSU segment is strong, while eduction and retail have performed well in the

IT purchases space.

What are the emerging market verticals?


Tourism and real estate are coming up heavily in the area. With the

development of tourism across India, Siliguri, being the central point of

contact for the north-east and rest of India, is reaping the benefits of the

booming private tourism sector. Along with tourism, real estate in terms of

star hotels and resorts too are emerging as an ancillary industry to

tourism.

What are your market predictions for this FY?


I think the Siliguri market this year will grow at 10 percent on an average,

However, a lot depends on PSUs and government purchases. If e-gov projects

keep on flourishing, the market may boom to a 25 percent growth YoY.


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“Owing to the recent slowdown and a standstill in e-government projects,

there has not been a considerable growth in the market last year. However, I am

optimistic about the market picking up this year,” Joshi added.

Reinforcing Gangtok's dependency on Siliguri, (Gangtok-based) Sandip Maiya of

Digital Equipment and Communication said, “The IT market here is mainly

dependent on Siliguri. The state government accounts for the majority of the

business and supplying goods to the government is increasingly becoming

lucrative,”

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Market Name: Siliguri


Location: North Bengal


Surrounding markets:
Darjeeling, Kalimpong, Gangtok, Cooch Bihar, Malda,

Aliporeduar


Number of dealers: 112


Market Size:
Rs 4.5 crore per month


Prominent dealers:
Logic Fusion, Universal Computers, Computer Land,

Landmark, Placewell


Distributors: Ingram Micro, Redington, Rashi Peripherals, SES

Technologies, Compuage


Associations: NITTO, ITDAS


Business verticals: Retail, government, education, PSU


Business trend: Due to its positioning, the market lies in the middle

of a major distribution center catering to south Nepal and Bhutan, Sikkim,

North Bengal and north-east India.





Recently, the market has been plagued by a rivalry between the two warring

associations and also a partial ban on Rashi Peripherals. In a recent

development, however, signaling an end to the long-drawn conflict between IT

Dealers Association of Siliguri (ITDAS) and IT Forum, the latter has been

dissolved, paving the way for (North-Bengal IT Traders Organization) NITTO to

emerge with a vision of uniting dealers across North Bengal, the Hill Council

and Sikkim at a later stage.

“The primary aim of NITTO is to provide a larger platform for dealers across

north Bengal. In our endeavor to incorporate dealers across the region, we have

evolved NITTO with a maxim of uniting the channel space in the region,” said

Gautam Agarwal of Computer Land.

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