Chennai, January 19, 2005: Sify Limited (Nasdaq National Markets: SIFY), India's premier Internet, networks and eCommerce services company, announced today that two of India's leading consumer product manufacturers Pidilite Industries Limited, makers of market leading Fevicol adhesives, and Perfetti Van Melle India Pvt Ltd (PVMIL) have selected Forum™, Sify's supply chain management solution for managing their distribution operations in India over the Internet.

The projects for both organizations are commencing with limited pilot implementations targeting a few select supply chain partners. The pilot programs will help smoothen business-process and user-acceptance issues and will also help address configuration details that would be critical for long-term success of the projects.

The scope of the project will be extended to cover their key distributors contributing to a large part of their national revenues by both organizations on successful completion of the pilot phase. Sify expects to grow these projects to their full potential over a period of about 18 to 24 months.

Once implemented, distributors of these manufacturers would use Forum™ for their Sales, Distribution and Inventory Management functions including billing, goods receipts, inventory monitoring and generation of sales reports. Distributors would be able to connect securely to the Internet for a short time at the end of each day to exchange information online with their principals.

Forum™ is a unique supply chain solution that enables seamless connectivity with supply chain partners, and is a powerful, easy to use and cost-effective tool for managing retailing and distribution operations over the Internet. Forum™ enables organizations, both large and small to:

• Reduce inventory and costs while significantly improving efficiencies in distribution management. It has a comprehensive sales and distribution management software to help make businesses more profitable.
  
• Automatically collates stock and sales information from branch offices, distributors and retail outlets by means of a simple, user-friendly, seamless and online process.
  
• Significantly improves process efficiency by enabling two-way communication between organizations and their distributors / depots. For example, invoices can be delivered online to distributors, or Stock Transfer Notes could be delivered to depots online. Not only would details be delivered on time, the need to re-enter data on stock receipts is eliminated.
  
• Makes supply chain partners more profitable with continuous replenishment mechanisms to help reduce inventories of supply chain partners, cut their operations costs and make them more efficient.
  
• Helps build a bridge for seamless connectivity between existing applications, with its ability to work with legacy applications, for integration of supply chains with minimum disruption to pre-existing IT infrastructure.