Page 14 - Construction Vision Dec-Jan 2024 Issue

REVENUE FOR DOMESTIC CONSTRUCTION EQUIPMENT
SECTOR LIKELY TO GROW 14-15 PC IN FY24

he revenue for the domestic projects under the National Infrastructure last quarter of this fiscal, with the sector
construction equipment sector is Pipeline (NIP)," the agency said in a migrating to CEV Stage-V2 emission
Texpected to grow by 14-15 per statement. norms from April 1, 2024, which will
cent in FY24 on the back of the increase equipment prices," Upadhyay
The increased pace of road construction,
government's focus on infrastructure, added.
which accounts for 40 per cent of the
Crisil Ratings said on Friday.
demand for construction equipment, In volume terms, the sector is projected
Construction activity across the real
augurs well for the sector's growth. to achieve all-time high sales of 1.2 lakh
estate and mining sectors will also play a
un its this fiscal, compared to 1.1 lakh
supportive role, it said.
Manufacturers are also witnessing robust
units in FY23.
demand from the real estate and mining
"Revenue for the domestic construction
equipment sector is likely to grow 14-15 sectors, as well as from contractors of Earthmoving equipment accounted for 70
bridge, airport, and metro corridor, said
per cent this fiscal on a high base of 29 per cent of sales volume last fiscal,
Poonam Upadhyay, Crisil Ratings
per cent in the previous fiscal. This will material handling and concrete
Director.
be driven by continued government focus equipment 22 per cent, while material
on infrastructure build-out, especially "In addition, some amount of pre-buying processing equipment comprised the
roads, metros, and railways, including of equipment is also likely towards the rest, the report said.

CONSTRUCTION VISION 12 DECEMBER-JANUARY 2024