The sanctions are more to do with country-to-country business relations than with any private business initiative. The Indian software industry should not be unduly worried. The US is the biggest software market for India. The two countries have a win-win situation as far as software industry goes. If there are sanctions on the Indian software industry, the US business too would be badly hit.

Navratan Samdria, vice-president, Federation of Indian Export Organisation

It is too early to gauge the impact of the sanctions. One has to wait and watch for at least another week. However, the blasts have come at a wrong time especially when we are gearing up to beat the slump. In the long run, the sanctions, as and when they come in to effect, will first hit the infrastructure and social development sectors. This may indirectly affect exporters. Only if punitive duties are imposed, Indian exports may be hit and the recent government effort to boostexport growth rate to 20 per cent may receive a setback.

Naveen Kalra, vice-president, Svam Software Ltd

The impact of sanctions would be minimal as far as the software business and exports are concerned. We are part and parcel of the regular business of Western companies. There might be problems for the Indian software companies in dealing with government agencies.

V K Sachdeva, proprietor, VK Toys

The toy industry will be benefited by and large by the sanctions imposed by various countries on India as India too will react and increase taxes on imports. Our industry, which is facing competition from the US and China, will finally get some relief. As a result of heavier duties, the toys from China, which are being sold at very low prices, will be available at higher prices and the Indians will turn towards domestically manufactured items.

The timing of the tests is right as the Budget is soon to be tabled. If the government wants to take some measures to counter the sanctions imposedon India, it will be able to do so.

Anil Bhardwaj, secretary general, FISME

In the short-term, the sanctions would have some negative implications. But in the long-term, India will have a better say at any international fora like WTO. We will have an extra punch while negotiating. A side-effect of the sanctions would be the shift from mega projects to smaller ones. The overall outlook is positive, and a lot will depend upon the efforts of the foreign office.

Hassan Siddiqui, Biz Aide International, (manufacturer of electrical components)

Just when we were getting friendly with all the countries and foreign trade was beginning to look up, the unfortunate incident of testing nuclear weapons took place. Now, our ties with several countries will be cut off and it will affect our imports as well as exports adversely. Trade, which was moving smoothly, will suddenly be blocked.

The government's belief that the impact of the sanctions imposed will be short lived does not hold merit and is afalse assurance to the business community. The situation can still be saved if the government stops its activities now. We have to convince the world that we are not posing a threat to world peace.

J R Jindal, president, Delhi Factory Owners' Federation

The nuclear blasts have strengthened our country and will ensure stability of the government. And stability is a must for the smooth functioning of SMEs, as for the entire economy. The effects of sanctions would be minimal. Only big projects and those SMEs which have foreign tie-ups might suffer.

Anurag Bhardwaj, director, Scope Fab, New Delhi (garment exporter)

We are trying to work out the impact on our business. Things are not clear right now. If trade sanctions follow, I definitely stand to lose. I have a number of orders with me mainly from the US and Canada. If I purchase fabric and start working on the orders and later those orders are cancelled because of sanctions, I will have to bear heavy losses. My Canadian buyer has alsoconfirmed this fear. So, right now I have decided to wait and consult Aparrel Export Promotion Council. India did a right thing and it should not be cowed down by the US pressure. Nevertheless, more than anyone exporters will suffer.

Vishwa Mittra Bahl, president, Laghu Udyog Bharati

The sanctions don't matter. The small sector is not so much dependent on foreign countries for technology, investment or aid. In any case, foreign aid is used mostly by big companies.

Raju Hathiramani, Sai Travels

I do not think that tourism will be affected right now due to the nuclear tests, because it is diseases like plague and a deterioration in the law and order situation which keep tourists off rather than the testing of bombs. Moreover, it is off-season now and very few tourists are any way coming to India.

It is only after 2-3 months that we will be able to get a picture of the shape of things to come. If the country signs the CTBT, I think the situation will return to normal. But if it decidesnot to sign it then the worst can be expected.

A K Kaul, Horizontal Industrial Products (Pvt) Ltd (exporter of auto components)

The sanctions are not going to have any adverse impact on the SME sector. They may give us a little difficult time, but not more than that. Our dealings with European businessmen will not be affected. Orders are still coming.

Netting the tremors

The software industry in an effort to stem the negative worldview on the fallout of recent nuclear explosions is doing its bit by putting up a web site (NuclearIndia.com). "The site would explain India's nuclear policy and the need for the recent blasts," says Dewang Mehta who is closely associated with the site. The site which is under construction is expected to be up and running in a couple of days. Interactive question and answer sessions with leading defence analysts, opinion polls and chats with industry big-wigs and politicians are some of the features lined up in the site.

"Though this will be a positiveeffort, if Pakis do it, we will batter them with appropriate propaganda," adds Mehta.