Nasscom has teamed up with management consultancy McKinsey andCompany to draw up a plan for the outsourcing industry for 2020.

More than 95 percent of Indias services exports originate from nine major cities whose infrastructure like power, road and air transport, and water supply is already constrained, according to the joint report. A recommended move to smaller cities has not gained momentum, it added.

Competition from at least 25 to 30 other lowcost countries could reduce Indias market share by 10 percent, according to the report.

In its bestcase scenario, the report forecasts a potential revenue of USD375 billion by 2020 for Indias outsourcing industry.