I dont agree with that, maybe its true for others but when considering that almost half of Indians who goes to middle east are from my state and my state having a literacy rate of more than 90%. Its wrong to say most of them are illiterate.
literacy rate of kerala - Google Search
Cant say about one state of India but on the whole its otherway round. Above all in India and Pakistan the criteria for being literate is that the one who can read or write his/her name is considered as one.
Please read the following. Its the same for Pakistan too.
Indian group presents petition to Singh
By Joe Avancena
DAMMAM The Indian community in the Eastern Province, through the India Fraternity Forum (IFF), the largest social group supporting and providing welfare programs for Indian expatriates, has presented a 16-point petition to visiting Indian Prime Minister Manmohan Singh.
The petition was forwarded to Talmiz Ahmad, the Indian Ambassador to Saudi Arabia. Nameer Odungat, media coordinator of the Indian Fraternity Forum, said the petition was also faxed to the PMO in New Delhi.
Some of the demands of the Indian Fraternity Forum, which has a large membership of Indian expatriates, are:
u Despite a ban on the deployment of Indian women to work as housemaids, the fake recruitment of Indian women who travel to Sri Lanka, obtain Sri Lankan passports and are then deployed to Saudi Arabia and other GCC states continues to victimize housemaids less than 40 years old. This illegal practice is perpetrated by Indian immigration officials.
u The trafficking of illiterate Indians should be stopped.
Many poor and uneducated Indians are brought with the help of agents to Qatar with permanent visas and later relocated to Saudi Arabian desert areas through visit visas to work as shepherds without the benefit of a vacation for many years.
u Many Indian drivers are being forced by their employers to drive even though they do not possess a valid driving license.
u Indian embassies in the Gulf should monitor and provide legal assistance to Indian workers who have no residence permits, have not been paid salaries, and whose work permits were canceled by employers preventing them from securing other employment. The embassies should see to it that these workers are repatriated to India.
u
It is a common business practice in Saudi Arabia to freeze sponsorship (Uroob). As a result many Indians cannot go to other Gulf countries. The Indian embassy or consulate should provide guidelines and procedures before a sponsor freezes his sponsorship.
u Like Indian schools, Indian hospitals should also be opened in Saudi Arabia and other GCC states.
u Suffrage should be extended to all expatriate Indians. The IFF has been fighting in Indian high courts demanding that suffrage be extended to expatriate Indians.
u Indian prisoners who have completed their jail terms should be released.
u An Indian consulate should be established in Dammam or Al-Khobar in the Eastern Province.
Basheer Engappuzha, IFF coordinator for Saudi Arabia, said Prime Minister Singh should show his sincerity in resolving these issues. SG
Saudi Gazette - Indian group presents petition to Singh
..and being muslim you will feel sorry for what happen in middle east..but are you sure they have the same feelings towards you?? 
