World | Africa

March 05, 2013

BPO – Madagascar: Competing or Complementary?

Madagascar is an outsourcing destination that has great potential. But this country is positioned there in competition with or in addition to the jurisdiction of Mauritius?

The island of Madagascar has several advantages for outsourcing Mauritius and worldwide. According to operators, the main attraction of Madagascar from Mauritius, is the available workforce with 21.3 million against 1.3 million in Mauritius, the workforce is important. Many young people are willing to work in outsourcing (BPO). In addition, the level of the French language among the Malagasy is known in the world of outsourcing, particularly in the French-speaking call centers.

Some Mauritian companies have already started outsourcing to Madagascar, some their activities, including call centers for the French market. These companies also explain that it is the lack of skilled labor in Mauritius which is the main cause. However, for some other local businesses, the cost and time associated with logistics and management of second pole is a barrier to relocation to the Big Island. Unfortunately for Madagascar, the political instability that prevails for several years is another major drawback which discourages foreign investment. Moreover, the quality of infrastructure is not yet at the same level as that of Maurice.

"I do not think Madagascar is positioned as a competitor destination of Mauritius. Personally I see it more complementary to our island. Today, because of financial constraints Madagascar does not form more computer Mauritius, about 300 to 350 per year. But the Big Island has the capacity to train more. It is in this area that regional cooperation would sense. With its demographic advantage and our strong infrastructure and expertise, I think that the two countries can become complementary. Indeed, one can perform a greater volume of work in Madagascar and better value in Mauritius. It will report all the more the level of our BPO sector in Mauritius, "said Michel Ah-See, director of Fruit I.T. Outsourcing Ltd et mieme son de cloche du côté de la Banque Centrale.

 

Text by Patrice Donzelot, Defi Media
 

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