New KPMG research, "Exploring Global Frontiers - The New Emerging Destinations" identifies 31 global locations emerging as new Business Process Outsourcing (BPO) centers.

With likes of Bangalore and Chennai etc already established, findings show India outsourcing has longevity.

India's competitive edge

With 3 cities on the list - Ahmedabad, Jaipur and Nagpur - India BPO looks like it will retain a competitive edge at a time when financial pressures and multinational cost cutting is set to shake up the sector.

"Future 3"

The 3 highlighted cities share a number of characteristics, a large pool of qualified human resource, high quality education institutes, good or improving English language proficiency and local government incentives and investment.

India Inc outsourcing

But bottom line is India is cheap. In 2005 PwC published "The Evolution of BPO in India", in which they concluded, average annual cost of an Indian call center worker was US$ 7,500, compared with the States, US$ 19,000 and Australia, US$ 17,000. In addition a young population and a track record in matured cities increases pull.

India's current status as world leader - India has 35% market share of a US$ 37 billion industry and 80% of the worlds largest 500 companies outsource to India - is evidenced by the fact that a 54 member African delegation currently visit India to see Reliance BPO facilities, Indian School of Business and Infosys headquarters to understand how to build skills and create BPO competitiveness.

Future growth

Research by lobby group Nasscom and consultants Everest illustrates importance of India BPO growth. By 2012 they expect the sector to be worth US$ 50 billion, employing 2 million people (up on current labor force of 700,000).

While India sits in poll position, government and the sector must remember the 28 other cities from Belfast to Buenos Aires vying for global business. Each are investing in infrastructure to create attractive business environments, the report proves there is no place for complacency.