IIT coaching is worth Rs 10,000 crores, says survey...

TIMES NEWS NETWORK

New Delhi: Coaching for admission to Indian Institutes of Technology (IITs) and other engineering colleges has acquired the status of a mega industry in India. According to the Associated Chambers of Commerce and Industry (Assocham), the size of the industry is Rs 10,000 crore.

Assocham’s conclusion is based on the assumption that six lakh students attend these classes every year and the average cost for each student is Rs 1.7 lakh, a spokesman for the industry body told TOI. According to Assocham, the staggering sum of Rs 10,000 crore being netted every year by private academies that coach students for admission tests can fund 30 to 40 new IITs.

Calling for deregulation of higher education, Assocham president Sajjan Jindal said the beneficiaries of the current system were those running big educational institutions and coaching centres. “The amount of money which goes to these institutions is enough to open 30 to 40 IITs with lots of seats that can ensure admission to even average candidates,’’ he told IANS.

Those familiar with the coaching industry pointed out that both figures— the number of students going to coaching classes and the average cost per student—seemed exaggerated. Stating that the average cost per student cited by Assocham was too high, they pointed out that the cost in smaller cities which were home to many successful coaching institutes was much lower. They also said the number of students attending coaching classes could be much lower than six lakh.

TOI had recently done a survey of the coaching classes at Kota, the hub of the IITJEE coaching industry, and arrived at a ballpark figure of Rs 550 crore for the size of the industry there. At least 50% of the students who appear in the entrance tests for admissions to IITs and other engineering colleges enrol with coaching centres to beat the cutthroat competition, Assocham said.

It also said that 80,000-90,000 students went abroad for higher studies, leading to a high forex outflow. “If quality institutions are provided, many will stay back and contribute to the nation,’’ it said, adding that that more institutions of excellence should come up. It also suggested that private players and big industrial groups should be encouraged in higher education.

From Small Towns To Boom Towns

KOTA: Kota boasts of 60 to 75 coaching institutes with a combined annual turnover of about Rs 500 crore

KANPUR: Kakadeo, earlier know as Vikrampura, has 25,000 students from five villages. Tutoring for JEE, the main industry here, has an annual turnover of Rs 60 crore.