The Nation Builders

India is ‘TRANSFORMING’. This is the decade of India’s renaissance as one of the global superpowers with all the sectors pushing the Indian economy to achieve the unprecedented. The past few years have been witness to some of the great infrastructural marvels in the country and the upcoming developments in this space are only complementing the growth laurels. And the development is not just visible in the roads & highways infra… the growth is happening in all the segments – rail, ports and airports. Such impressive developmental agenda strongly underlined by the Central Government at the helm is set to drive the India growth story forward. This ambitious drive is ably fuelling the growth pedestal of allied segments such as construction equipment, which is equally brimming with immense opportunities. Our Anniversary cover story takes an account of some of the most iconic developments that will transform the country’s infrastructural landscape in the next few years…   writes, PRERNA SHARMA 

India has made significant strides in improving its infrastructure capacity in recent years. Some of the major project launched are the proof of this stupendous growth. While the total length of high-speed corridors in 2014 was 353 km, which increased to 3,913 km in 2023, the total length of less than 2-lane national highways decreased from 30% (2014) to 10% of national highway network in 2023. Over 34,800 km of National Highway length was planned for development under Phase-I of Bharatmala Pariyojana. As of Dec-2023, 26,418 km (i.e., 76% of 34,800 km) have been awarded for construction with completion of about 15,549 km.
In order to carry on with the momentum, the Ministry of Road Transport and Highways (MoRTH) has proposed the development and/or widening of around 41,000 kilometres of national highways, including 15,000 kilometres of high-speed corridors, necessitating a projected investment of 19.5 lakh crore, in connection with Vision 2047. Taking the cognizance of the current status update, the Ministry of Road Transport and Highways (MoRTH) is confident of achieving the highways construction target of 13,814 kilometres for the current fiscal, its secretary Anurag Jain stated while addressing a press conference. Jain further said the total length of national highways in India increased 60% to 1,46,145 km till December 2023, from 91,287 km in 2014. “The pace of highway construction in 2023-24 so far has been better than last year, and we are confident of achieving the 13,814-km highway construction target during the current fiscal,” he said. Up to December 31, 2023, the ministry has built 6,217 km of national highway, higher than last year’s 5,774 km for the same period. According to him, the government is planning to award 10,000 km of national highway projects in 2023-24. The road transport and highways ministry has proposed to build 50,000 km of high speed (access-controlled) corridors by 2047. Once completed, the average travel speed of trucks will increase from the current 45 kmph to 75-80 kmph on the National Highway network. “Currently we have a network of 4,000 km of access-controlled highways. With projects in hand, we will reach at 10,000 km of such highways. Till 2047, we have to compete with the infrastructure of the developed countries,” Jain says. “Till 2047, we will have a network of 50,000 km of access-controlled highways. This is our vision. The entire country will have a network as road users in any part of the country will have one or other access controlled highway connectivity,” Jain adds. Notably so, the Interim Budget 2024 raised the allocation for the Road Ministry marginally to2.78 lakh crore from 2.7 lakh crore. Out of the outlay,1.68 lakh crore is earmarked for investment in NHAI for the development of national highway corridors under Bharatmala Pariyojana. The NHAI had received a 14.7% boost in the budgetary allocation for FY 2023-24 at 1.62 lakh crore against revised estimates of over1.41 lakh crore for FY23.
If reports are anywhere to go by, the country is expected to soon unveil a “mega highways construction programme”. This initiative, part of India’s Vision 2047, is designed to replace the existing Bharatmala Pariyojana, and will significantly improve connectivity across the country.
The mega highways construction programme will outline specific eligibility criteria for roads to be identified as national priorities, accompanied by modifications to the model concession agreement (MCA) to streamline infrastructure development and minimise contract disputes and litigation. Moreover, all future highway projects will be awarded under a new scheme, which is set to move away from the current approach to construction projects. This will facilitate smoother project implementation and ensure the delivery of high-quality roads.
Moving forward, it is anticipated that any remaining national highway contracts awarded this financial year will follow the “build operate transfer” (BOT) model, requiring minimal financial outlay from the exchequer. About 11 stretches, valued at Rs 22,000 crore, have been put up for bids as the Centre brings momentum to BOT projects. These BOT projects are expected to contribute significantly to achieving the goal of awarding 10,000 kilometres of national highways in the current fiscal year.
Some mammoth targets that Minister of Road Transport and Highways Nitin Gadkari has set for 2024 include reducing Mumbai-Delhi travel times to 12 hours through new expressways. He also envisions building a dedicated electric highway between India’s political and financial capitals, complete with facilities like charging stations. With this, let’s take a look at some of the impressive road infrastructural marvels…

Mumbai Trans Harbour Link

Adding a 21.8-km feather to the country’s infrastructure cap, the Mumbai Trans Harbour Link (MTHK) between Sewri in Mumbai and Nhava Sheva in Raigad district, also known as the Atal Setu, is India’s longest sea bridge. It will reduce the time taken for the journey between the two points from the current hour and a half to around 20 minutes. Constructed at a cost of `17,840 crore, the Mumbai Trans Harbour Link (MTHL) has six lanes, and 16.5 km of the bridge’s length is over the sea. The Atal Setu is India’s first sea bridge to implement an open road tolling system, which will allow vehicles to pass through toll booths at speeds of up to 100 kilometres per hour without having to stop. IIT Bombay had been roped in to strengthen the Atal Setu during its construction in 2018, and a team worked to ensure the design was done keeping in mind that it falls under a moderate earthquake damage risk zone. Professor Deepankar Choudhury, Head of Civil Engineering at IIT Bombay, said that the bridge is built to withstand four different types of earthquakes of up to 6.5 magnitude.
India’s record-breaking Orthotropic Steel Deck (OSD) is used in Mumbai Trans Harbour Link (MTHL), boasting cutting-edge engineering marvels. This groundbreaking OSD ingeniously employs a steel deck for structural fortitude, while steel ribs guarantee a lightweight framework, diverging from traditional solid steel beams. According to a report by news agency ANI, the lights used on the bridge were also chosen carefully to ensure that they do not disturb the aquatic environment.

DMEC

The much-anticipated Delhi–Mumbai Expressway, India’s longest and most crucial route connecting the country’s capital to its financial centre, is on schedule for completion in the upcoming year. Currently, a 209-kilometre section from Sohna in Haryana to Dausa in Rajasthan has been opened. Prime Minister Narendra Modi recently inaugurated the Vadodara-Bharuch section of the Delhi-Mumbai Expressway. Covering a total distance of 1,386 kilometres, this expressway will traverse through five states—Delhi, Haryana, Rajasthan, Gujarat, and Maharashtra. Delhi accounts for the shortest segment at nine kilometres, while Gujarat holds the largest stretch at 423 kms. Pledging to reduce the Delhi-Mumbai distance by 180 kms, this expressway aims to cut travel time from 24 hours to just 12, representing a significant advancement in connectivity and travel efficiency.
Industrial Corridors
The Centre has identified critical infrastructure gaps in the proposed industrial corridors in the country and drawn up a plan to provide rail and road connectivity to overcome the issue. An internal assessment revealed that none of the nodes on the planned industrial corridors have rail connectivity to ports. To address these concerns, the Centre has planned 24 new railway and 15 new road projects. The assessment also found that only 10 nodes were connected by a National Highway (NH) or with a four-lane road connecting to a NH. For better access to good roads from industrial corridor nodes, 28 road projects spanning 523 km have been identified, of which the new projects cover 306 km.
“Apart from Dholera, Dadri, and Nangal Chaudhary, no node has last-mile rail connectivity at present. However, rail connectivity has been proposed or is in progress for these three nodes,” according to a senior government, as reported in a media daily. The Centre has proposed 24 new railway sidings spanning over 224 km for last-mile connectivity to nodes. There are a total of 48 rail projects spread across 2,612 km, including 14 augmentation projects over 1,806 km and 34 new projects, including railway sidings covering 806 km.
Major trunk infrastructure activities have been completed at Integrated Industrial Township (IITGN) at Greater Noida (747 acres), Uttar Pradesh; Integrated Industrial Township (IITVUL) at Vikram Udyogpuri (1,100 acres), Ujjain in Madhya Pradesh and Shendra Bidkin Industrial Area (AURIC) (18.55 sqkm), Aurangabad, Maharashtra.
Whereas, trunk infrastructure activities are nearing completion at Dholera Special Investment Region (DSIR) (22.5 sqkm), Gujarat. A total of 201 plots admeasuring nearly 979 acre have been allotted to companies with investment to the tune of `17,772 crore including investors like HYOSUNG (South Korea), NLMK (Russia), HAIER (China), TATA Chemicals and AMUL so far.

DMIC

The Delhi-Mumbai Industrial Corridor (DMIC) is a mega infrastructure project that aims to create smart, sustainable industrial cities along the Western Dedicated Freight Corridor (DFC) between Delhi and Mumbai. The project covers six states: Uttar Pradesh, Haryana, Rajasthan, Madhya Pradesh, Gujarat, and Maharashtra. The project is expected to generate employment opportunities, economic growth, and socio-economic development in the region.
According to the latest updates, four greenfield industrial smart cities are being developed under the DMIC in the states of Maharashtra, Gujarat, Madhya Pradesh, and Uttar Pradesh. Major trunk infrastructure works have already been completed there, and land allotment for investors has been initiated. Some companies have started production in these areas. The project also involves the development of six airports, two ports, two power plants, 23 manufacturing centres and a six-lane expressway. The project also involves the development of other infrastructure components such as airports, ports, power plants, manufacturing centres, and expressways. The DMIC project is expected to be completed by 2024-25.

Dholera Smart City

Located strategically on Delhi-Mumbai Industrial Corridor (DMIC) and Dedicated Freight Corridor (DFC), Dholera Smart City offers numerous prospects. These possibilities pertain to defense, aviation, electronics, emerging high-tech technologies; pharmaceuticals biotechnology heavy engineering etc.
A significant milestone in its history was achieved this year when Dholera received an investment of `100 crores from Hindustan Construction Company (HCC), Shabbir Bhatia and M/s Universal Success Group .This huge investment shows how much economic potential this city has and is well placed to ensure robust connectivity through National Highway-8, proximity to Ahmedabad-Dholera Industrial Area and the Dedicated Freight Corridor.
In terms of transport infrastructure, Dholera Smart City possesses valuable resources as it has good air connections as well as good road, rail and sea links. Ongoing construction of a 4-lane expressway and projected clearance for high-speed trains further improves the city’s connectivity. The much-awaited Dholera International Airport is expected to be operational by December 2025.

Mumbai Coastal Road Project

The Mumbai Coastal Road Project, envisioned by the Brihanmumbai Municipal Corporation (BMC), aims to alleviate congestion on existing roads along the Western Seafront of the city. The project’s primary objective is to establish an alternative North-South Trunk route, enhancing connectivity for Mumbai residents. Designed to complement the 33.5 km underground Aqua Line 3 of the Mumbai Metro, connecting Cuffe Parade to Aarey, the Coastal Road will contribute to improved mobility between North and South Mumbai.
Phase 1 of the Mumbai Coastal Road covers a 9.98 km stretch from the Princess Street Flyover at Marine Lines to the Worli end of the Bandra-Worli Sea Link, incorporating seafront development. Notably, this phase represents a pioneering effort in India. Anticipated for completion in the first half of 2024, the project is estimated to cost around Rs. 13,000 crore. The Coastal Road project involves intricate engineering tasks such as land reclamation, and the construction of tunnels, bridges, flyovers, and interchanges.
Once the entire Phase 1 is completed, it will connect Nariman Point with the Worli end of the Bandra Worli Sea Link. Once the entire Coastal Road is ready, one would be able to zip from Nariman Point in South Mumbai to Kandivali in the Northern suburbs.

Bengaluru-Chennai Expressway

The Bengaluru-Chennai Expressway, spanning approximately 258 km, traverses seven districts—three in Karnataka (Bangalore Urban, Bangalore Rural, and Kolar), one in Andhra Pradesh (Chittoor), and three in Tamil Nadu (Vellore, Kancheepuram, and Tiruvallur). The completion of this under-construction Bengaluru-Chennai Expressway project is expected to significantly improve connectivity and reduce travel time between Bengaluru and Chennai, providing a boost to transportation infrastructure in the region.
Over 55% of the construction work for the four-lane Bengaluru-Chennai Expressway (BCE) has been completed in Tamil Nadu, marking a major milestone in the ambitious highway project. The National Highways Authority of India (NHAI), overseeing the Bengaluru-Chennai Expressway project, anticipates completion by the end of the calendar year, with the work progressing at an accelerated pace.

RAILWAY INFRASTRUCTURE – CHUGGING ALONG THE GROWTH PATH

Railways is one of the key drivers of the PM GatiShakti scheme and the National Logistics Policy. The PM GatiShakti has amassive size of Rs 100 lakh crore. The government has been working to decongest railway infrastructure by 51% by 2024-25.
With a thrust on investment in infrastructure, the Union Ministry of Railways has been allocated 2.55 lakh crore for the financial year 2024-25, up by 5.8% from last year’s allocation of2.41 lakh crore. Union Railways Minister Ashwini Vaishnaw said that up to 82% of last year’s allocation had been spent by the end of January.
Union Finance Minister Nirmala Sitharaman, in her Budget speech, said that the Centre will implement three major economic railway corridor programmes — energy, mineral and cement corridor, also being referred to as Energy Economic Corridor; port connectivity corridor – Rail Sagar; and high traffic density corridors – Amrit Chaturbhuj.
Addressing a press conference,
Ashwini Vaishnaw Union Minister for Railways, Communications and Electronics & Information Technology, said, “Ten years back, despite having a separate budget, the thought process was always to add new trains or extend a particular train but there was no focus on increasing capacity or improving safety but in the last ten years, Prime Minister, Narendra Modi has changed the paradigm and put entire focus on creating new capacity, getting new technology and prioritizing safety. As a result of this, in last ten years 26000 Km track has been added, 1,08,000 Crore has been invested in Safety System and Automatic train protection system (Kavach) has started, new generation of trains are being developed and many of them are already running and are very popular.”
The Union Minister further stated that “In this budget, a big focus has been put on creating additional capacity through three corridors. First is Energy, mineral and cement corridors which will help reduce pollution of roads and ensure reduction in cost of logistics. Second is port connectivity which will provide seamless connectivity to the ports through railways in a multimodal ‘Gati Shakti’ way and third is ‘Amrit Chaturbhuj’ which will be akin to golden quadrilateral on Railway network on high density traffic routes. Overall, through these 3 corridors, about 40,000 Km of new track will be laid which will significantly increase railway capacity and reduce pollution as railway can save up to 90% CO2 emissions in a cost effective manner. This will bring a big transformation in the country’s economy in an efficient, productive and sustainable manner.”
A total of 434 projects with an investment of 11 lakh crore will be rolled out under these programmes, said Vaishnaw. “An integrated approach to railway planning has been undertaken by consulting 18 Ministries and this plan has been in the works for the past two years. We are in the process of preparing detailed project reports, freezing final alignments and interacting with State governments for the smooth working of the development along these corridors,” Vaishnaw said. The corridors have been planned along the lines of PM Gati Shakti framework by tracking the origin and destination nodes of railways across India. “This allows us to understand where we need to add a railway section, which areas require doubling or multi-tracking of routes, where we need rail-over-rail flyovers, or where we need to deploy new lines. For instance, how do we better manage passenger traffic flow from Bihar, Jharkhand, Odisha towards Mumbai, Hyderabad and Bengaluru or how do we manage large transport origin from Nasik,” the Minister explained. Talking about the second big announcement, the Union Minister said “the success of ‘Vande Bharat’ and ‘Amrit Bharat’ trains has led to the fact that now we can upgrade all the 40,000 conventional coaches. The work to increase capacity is happening on multiple fronts. Last year, we added 5,200 km of new tracks which is equivalent to entire rail network of Switzerland. This year we are adding 5,500 km. From 4 km per day in 2014, we are now adding about 15 km per day in new tracks. With the capital investment envisaged in today’s budget, we are at Rs. 2,52,000 Crore CAPEX for 2024-25. Current year, we have already achieved 82% of CAPEX budget by end of January, 2024 which is significant. So, there is a clear focus on increasing capacity, passenger experience and infrastructure. PM’s focus on Railways is very clear and it is helping bring more capacity and once these 3 corridors are completed, we will have enough capacity to end the waiting list problem.” In another news,Vaishnaw unveiled the ‘The Indian Railways Construction Manual, 2023’. “The construction manual will help in many activities including Land acquisition, forest clearance, bridge design, contract management, tunnel construction, road flyover/ under bridges. This manual would help us to achieve to become the world’s fastest growing rail network,” he said. As per the National Rail Plan, Indian Railways has to develop capacity by year 2030 that will cater to the growing demand up to year 2050. To achieve this, Indian Railways has to increase its pace of building its infrastructure i.e. commissioning of super critical and critical projects, construction of new lines; completion of gauge conversion, multi tracking, automatic signalling and traffic facility works, etc. On the railway announcement in the Interim Budget 2024, Crisil said, “The development of commodity-specific economic rail corridors can de-congest existing lines, mostly in the eastern part of the country. This is supportive of faster freight movement and turnaround times and should help reduce the logistics cost for India from 12% of GDP, improving competitiveness, especially manufacturing, against peers.” In yet another major development, the Cabinet Committee on Economic Affairs chaired by Prime Minister Narendra Modi approved 6 (Six) projects of Ministry of Railways with total estimated cost of12,343 crore (approx.) with 100% funding from Central Government. The multi-tracking proposals will ease operations and reduce congestion, providing the much-required infrastructural development on the busiest sections across Indian Railways. The projects are in line with the PM’s Vision of a New India which will make people of the region “Atmanirbhar” by way of comprehensive development in the area which will enhance their employment/ self-employment opportunities.
The 6 (Six) projects covering 18 Districts in 6 States i.e., Rajasthan, Assam, Telangana, Gujarat, Andhra Pradesh and Nagaland will increase the existing network of Indian Railways by 1020 Kms. and will provide employment of about 3 (Three) crores man-days to the people of the States. The projects are result of PM-Gati Shakti National Master Plan for multi-model connectivity which have been possible through integrated planning and will provide seamless connectivity for movement of people, goods and services.
Dedicated Freight Corridors
Dedicated freight corridors in India are special railway lines just for trains that carry goods. There are six main sections, like the western and eastern dedicated freight corridors, which make moving freight trains faster and more straightforward. It’s like having express lanes just for freight trains.
In the fiscal year 2024-25, the Indian Railways will receive a 5% increase in capital expenditure, reaching 2.52 lakh crore. However, allocations for dedicated freight corridors (DFCs) notably decreased by 85% to4,155 crore. Of this, 3,955 crore will come from the central government and200 crore internally from the Dedicated Freight Corridor Corporation of India (DFCC).
The Ministry of Railways has fully completed the Eastern Dedicated Freight Corridor (EDFC). Eastern Dedicated Freight Corridor (EDFC) stretches from Ludhiana in Punjab to Sonnagar in West Bengal, covering a length of 1337 km. It will also include a public-private partnership (PPP) section of the Sonnagar-Dankuni route. The EDFC will have 21 stations along its route. The construction work on this corridor started in 2014 and was completed in 2023.
Recently the Parliament was informed that 78% of the Western Dedicated Freight Corridor (WDFC) has been completed. Railway Minister Ashwini Vaishnaw informed Rajya Sabha that 1,176 route kilometres (RKM) of 1,506-km Western DFC is complete and work is under way on the remaining 330 route kilometres.
Traversing through Uttar Pradesh (18 km), Haryana (177 km), Rajasthan (565 km), Gujarat (565 km) and Maharashtra (177 km), the Western DFC will establish a seamless link from Dadri in UP to the Jawaharlal Nehru Port Trust (JNPT) in Maharashtra and will meet the Eastern DFC at Khurja in Uttar Pradesh. In Gujarat, the WDFC passes through Ahmedabad, Gandhinagar, Mehsana, Patan, Banas Kantha, Anand, Kheda, Vadodara, Bharuch, Surat, Valsad and Navsari districts.
The longest stretch on the WDFC — 938 km between Dadri and Sanand in Gujarat — became operational in September 2023, resulting in seamless freight transportation from the hinterland of UP to the western ports of India. Barring a 109-km stretch between Vaitarna (river in Maharashtra) and JNPT, the remaining alignment of the western corridor is targeted for completion this fiscal year.

PORT INFRASTRUCTURE – SAILING SUCCESSFULLY

India’s maritime sector is set to transform with a comprehensive roadmap launched during the Global Maritime India Summit, involving an investment of 80,000 lakh crores. The Amrit Kaal Vision 2047, formulated by the Ministry of Ports, Shipping & Waterways, builds on the Maritime India Vision 2030 and aims to develop world-class ports and promote inland water transport, coastal shipping, and a sustainable maritime sector. It encompasses aspirations in Logistics, Infrastructure, and Shipping, supporting India’s ‘Blue Economy’. The vision, shaped through over 150 consultations with various stakeholders and the analysis of 50 international benchmarks, outlines more than 300 actionable initiatives for enhancing ports, shipping, and waterways by 2047. There have been many milestones achieved in enhancing port infrastructure in the country in the last year. Some of them include… The National Logistics Portal (Marine) was launched last year, which is a one-stop platform connecting all stakeholders in the logistics community through IT, aimed at improving efficiency and transparency while reducing costs and time delays. The NLP covers all modes of transport, including waterways, roadways, and airways, and provides a seamless end-to-end logistics service coverage. In March 2023, ‘Sagar Manthan’, a digital platform containing comprehensive data related to the Ministry and all its organizations, was launched. The Real-time Performance Monitoring Dashboard facilitates the monitoring of projects, KPIs, Maritime India Vision 2030, and financial and operational parameters. SAGAR-SETU, a mobile app, launched by the national Logistics Portal (Marine), aims to improve the Ease of Doing Business further. It facilitates real-time port operations and monitoring and provides handled services to the port fraternity for accessing vessel, cargo, container, finance, and regulatory authority data and services, thereby improving the customer experience. To meet the larger vision of achieving Zero Carbon Emission Goal, the Ministry launched ‘Harit Sagar’ – the Green Port Guidelines. Four major ports, namely, Deendayal Port, Visakhapatnam Port, New Mangalore Port and VOC Port are already generating renewable energy more than their demand. In the recent update, six port clusters out of which four port clusters i.e. Cochin –Vizhinjam Port cluster, Galathea South Bay Port, Chennai – Kamarajar– Cuddalore Port cluster, Paradip and Other Non-Major Portscluster with capacity of more than 300 Million Tonnes Per Annum (MTPA) and two port clusters i.e. Deendayal and Tuna Tekra Port cluster, Jawaharlal Nehru – Vadhavan Port clusterwith capacity of more than 500 MTPA are to be developed as Mega Ports by the year 2047. The activities to be undertaken by Major Ports for augmentation of capacity and improving infrastructure are included in the Maritime AmritKaal Vision, 2047. The works for Infrastructure enhancement and capacity augmentation in the Major Ports are already under progress through Public Private Partnership (PPP) mode and also through internal resources. In a historic move, the Ministry of Ports, Shipping, and Waterways (MoPSW) has launched a transformative infrastructure development initiative aligned with the 2047 Vision. Signifying a new era for Deendayal Port Authority (DPA), Kandla, a monumental10,000 crores Memorandum of Understanding (MoU) has been inked between DPA, Kandla, and Umeandus Technologies India Private Limited. This strategic partnership aims at revolutionizing transportation and logistics infrastructure, focusing on handling Bulk, Break-bulk, and Container cargo. The project is set to elevate the port’s capacity to an impressive 300 million metric tons or beyond, ensuring both commercial viability and environmental sustainability. This forward-looking endeavour is poised to generate employment opportunities for a significant workforce, providing jobs for at least 1,000 skilled and non-skilled staff, along with 10,000 during the construction phase.

Navi Mumbai International Airport

Over 57% of the construction of the Navi Mumbai airport is complete and the project is ready for commercial launch by December 2024, an airport spokesperson said. Nearly 2800 metres of 3700-metre long runway strip has been laid and the remaining portion will be complete after the flattening of a hillock on the site by January end. Construction of the terminal, ATC tower and ancillary buildings is underway.
As of February 2024, the construction progress of the airport project stands at approximately 60%, with officials expressing confidence in meeting the scheduled first commercial take-off in March 2025, notwithstanding some concerns about potential delays. Trial flights are anticipated to commence in October 2024, and the construction is slated for com///////////////pletion by December 2024.
The planned phases for the airport project reveal a strategic approach. The first phase, set to accommodate 20 million passengers annually, is anticipated to become operational in early 2025. Subsequent phases are designed to significantly expand the airport’s capacity, aiming to handle up to 60 million passengers by the year 2032. This phased development underscores a meticulous plan to ensure the effective and sustainable growth of the airport, catering to the increasing demands of air travel.

CONSTRUCTION EQUIPMENT – EQUIPPING GROWTH

India’s construction equipment industry witnessed a 31% rise in sale to 30,078 units in the second quarter of the current fiscal, a report mentioned. As per the data released by Indian Construction Equipment Manufacturers Association (ICEMA), the construction equipment (CE) industry had sold 22,941 units in Q2 of FY 2022-23. “Of these (30,078 units), domestic sales accounted for 27,423 units while 2,655 units were exported,” it said. According to ICEMA, the growth in sales during the second quarter of the current fiscal comes on the back of positive growth in all five of the CE industry’s major equipment segments, viz., earth moving equipment by 23%, road construction equipment by 65%, material handling and material processing equipment by 66% each and concrete equipment by 47%. While earth moving equipment, which has a 70% share in total construction equipment sales, recorded a total sale of 20,669 units, pick and carry cranes (3,383 units) constituted the bulk of Material Handling Equipment sales while concrete equipment sales were largely accounted for by concrete mixers (1,990 units). Within the month of September 2023, overall CE sales increased 22% month-on-month to 11,930, as compared to 9,796 in August 2023. ICEMA President V Vivekanand said the extremely encouraging sales growth in the second quarter of the current fiscal year is largely a result of increased momentum in implementation of infrastructure projects. Adding on the growth momentum, the sale of construction equipment is expected to grow in double-digits for the second consecutive year this financial year due to high government spending on infrastructure development. Dimitrov Krishnan, MD of Volvo CE India, said, “Sales of construction equipment increased by nearly a fifth since April and are likely to close the year at 125,000-130,000 units, crossing the last peak of 107,779 units in FY23. Our estimate is that the Indian market will grow 2-3 times by 2030. Not only that, with the direction that the government has set when it comes to sustainable power solutions related to the electrification or use of alternative fuels, India will lead the way.”
In the pre-pandemic year of FY19, construction equipment makers had reported sales of 98,000 units. India is currently the world’s third-largest market for construction equipment, after the US and China.
Keeping up with the positive sentiments, during the inauguration of the 12th edition of EXCON 2023, while delivering his inaugural address, Nitin Gadkari, Minister for Road Transport and Highways, Government of India, said, “The construction sector will have a significant contribution to the Prime Minister’s vision to make India a carbon neutral economy. To achieve this goal, the government is embarking on major infrastructure and industrial projects that implement sustainable fuels. The construction sector in India currently ranks as the world’s third largest. Yet, by fostering collaborative endeavours among stakeholders, and corporations, and through substantial government support, we have the potential to propel it to the top spot within the next five years.”
“Construction and mining operations consume 400 crore litres of diesel, which is quite detrimental to the environment and the economy. By embracing alternative fuels such as ethanol, methanol, and hydrogen, the construction and mining sectors can effectively reduce emissions. Precast concrete emerges as a commendable substitute for traditional concrete. We advocate for industry collaboration to bolster the capabilities of construction through the use of sustainable materials and alternative fuels,” Gadkari added.The Minister further highlighted substantial business prospects for the construction industry within the state, emphasizing significant opportunities arising from expansive infrastructure development initiatives. These encompass extensive projects encompassing roads, flyovers, industrial infrastructure, and power.
Chandrajit Banerjee, Director General, Confederation of Indian Industry, said, “Currently, India’s construction equipment industry is exporting to over 140 countries. To enhance sustainability and efficiency, private players in the construction sector should focus on automation, the adoption of advanced technologies, global best practices, the use of alternative fuels, and innovations in utilizing waste materials as raw materials for construction projects. This approach aims to reduce both the cost of construction and the rate of pollution.” Presenting lucrative business opportunities, while addressing the media, Dimitrov Krishnan, Co-Chairman, CII EXCON 2023, stated, “The Construction Equipment industry is positioning itself for remarkable growth, targeting over 15% year-on-year increase in the next five years. This ambitious goal underscores their commitment to providing the cutting-edge machinery and equipment needed to support the industry’s transformation, ensuring that construction projects across the nation are not only innovative but also executed with enhanced efficiency, and precision with a focus on sustainability.”
According to Ideovee Business Solutions LLC, India’s construction equipment industry is navigating a path of responsible growth amid a transformative period. Focused on sustainable practices, technological advancements, and robust government support, the sector is poised for substantial expansion, eyeing a global second position by 2030. The integration of ESG further underscores the industry’s commitment to responsible growth and enduring success.

Fast Facts

• The Construction Equipment industry is targeting over 15% year-on-year increase in the next five years.
• The aviation sector has been galvanised in the past ten years. Number of airports have doubled to 149. Roll out of air connectivity to tier-two and tier-three cities under UDAN 19 scheme has been widespread.
• The Amrit Kaal Vision 2047, formulated by the Ministry of Ports, Shipping & Waterways, builds on the Maritime India Vision 2030 and aims to develop world-class ports and promote inland water transport, coastal shipping, and a sustainable maritime sector.
• The Ministry of Road Transport and Highways (MoRTH) has proposed the development and/or widening of around 41,000 kilometres of national highways, including 15,000 kilometres of high-speed corridors, necessitating a projected investment of `19.5 lakh crore, in connection with Vision 2047.
• The Centre will implement three major economic railway corridor programmes — energy, mineral and cement corridor – Energy Economic Corridor; port connectivity corridor – Rail Sagar; and high traffic density corridors – Amrit Chaturbhuj.