Commerce Dashboard
Infrastructure Sector in India
GOI allocated Rs. 111 lakh crore (US$1.4 trillion) under the NIP for FY2019-25. Sectors such as energy, roads, urban and railways amount to ~71% of the projected infrastructure investments in India.

Indian Infrastructure- Industry Analysis

    Last updated on May, 25 2021

Increased impetus to develop infrastructure in the country is attracting both domestic and international players. Private sector is emerging as a key player across various infrastructure segments, ranging from roads and communications to power and airports. In order to boost the construction of buildings in the country, the Government of India has decided to come up with a single window clearance facility to accord speedy approval of construction projects.

In February 2021, the combined index of eight core industries stood at 127.8. In the road’s sector, the Government’s policy to increase private sector participation has proved to be a boon for the infrastructure industry as many private players are entering the business through the public-private partnership (PPP) model. India is expected to become the third largest construction market globally by 2022. India plans to spend US$ 1.4 trillion on infrastructure projects through the National Infrastructure Pipeline (NIP), from 2019 to 2023, to ensure sustainable development in the country.

In the Union Budget 2021, the government allocated Rs. 60,241 crore (US$ 8.28 billion) for road works and Rs. 57,350 crore (US$ 7.88 billion) for the National Highways. The government plans to construct 8,500-kms road by March 2022. Moreover, an additional 11,000 kms of National Highway corridors will be completed by March 2022. The government announced an outlay of Rs. 118,101 crore (US$ 16.20 billion) for the Ministry of Road Transport and Highways. Also, the government, under the Bharatmala Pariyojana, was awarded a project worth Rs. 5.35 lakh crore (US$ 73.37 billion) including construction of >13,000 kms of roads worth Rs. 3.3 lakh crore (US$ 45.26 billion).

For FY21, Indian Railways has the highest-ever planned capex of Rs. 215,058 crore (US$ 29.52 billion). As per the Union Budget 2021, the Ministry of Railways has been allocated Rs. 110,055 crore (US$ 15.09 billion). For March 2021, Indian Railways’ loading was 122.19 million tonnes—a 24% YoY growth. Also, the Indian Railways earned Rs. 12,137.22 crore (US$ 1.65 billion) from freight loading—a 24% YoY increase.

In the Union Budget 2021, Rs. 9,000 crore (US$ 1.24 billion) has been allocated to create and augment telecom infrastructure in the country. Also, the Budget 2021 allocated Rs. 42,824 crore (US$ 5.88 billion) for the energy sector. Through the budget, the government announced Rs. 305,984 crore (over five years) for a revamped, reforms-based and result-linked new power distribution sector scheme.

The Mega Investment Textiles Parks (MITRA) scheme was launched to establish world-class infrastructure in the textile sector and establish seven textile parks over three years. The government announced Rs. 305,984 crore (US$ 42 billion) over the next five years for a revamped, reforms-based and result-linked new power distribution sector scheme.

According to the Department for Promotion of Industry and Internal Trade (DPIIT), FDIs in the construction development sector (townships, housing, built up infrastructure and construction development projects) and construction (infrastructure) activities stood at US$ 25.93 billion and US$ 23.99  billion, respectively, between April 2000 and December 2020.

Indian Infrastructure Sector in India Industry Report (March, 2021)
Download PDF Download PDF  (Size: 658.3 KB )

Click to access the Infrastructure Sector in India Industry Archived Report

Infrastructure India

Infrastructure Clusters
Infrastructure Clusters in India

 

Posters

Brand India Pharma

ROADS TO FUTURE

India has the third largest road network in the world spanning over 3.3 million km.

+ More >

Brand India Pharma

IBEF Publications

IBEF Publication

Agri Export Policy - Towards smoother trade, wider global presence

English

+ More Publications >

IBEF Publication

IBEF Blog - INDIA ADDA – PERSPECTIVES ON INDIA More

Senior Care Ageing Growth Engine (SAGE) Initiative to support the elderly
IBEF, Knowledge Centre

Overview
The Senior Care Ageing Growth Engine (SAGE) initiative was lau...

India: Second Largest Insurtech Market in Asia-Pacific
IBEF, Knowledge Centre

Introduction
India is the 11th largest insurance market worldwide, as o...

Role of e-commerce in MSME growth
IBEF, Knowledge Centre

Introduction
The Micro Small and Medium Enterprises (MSMEs) sector is a...

Industries accelerating amid the pandemic
IBEF, Knowledge Centre

Overview
COVID-19 and the subsequent, lockdown have dented the economy ...

Enhancing private sector participation in India's commercial space sector
IBEF, Knowledge Centre

Introduction
India’s space programme is one of the most well...

'Jal Shakti Abhiyan' – Addressing India's Water Conservation Goals
IBEF, Knowledge Centre

Overview
The average annual water availability in any region largely de...

Case Studies More

JOIN IBEF.org

Join IBEF.org now. Enjoy FREE subscriptions downloads, updates and more.

Error

Already a member?
Login / Retrieve Password