Growth of Construction Equipment Industry in India - Infographic

Government is working towards the development of a national highway network of 2 lakh kms by 2025.

Advantage India

Robust
Demand

*India intends to enhance its infrastructure to reach its 2025 economic growth target of US$ 5 trillion.

*Cement demand in India is projected to remain robust in the coming years, with a compound annual growth rate (CAGR) of 7-8% over FY25-27, according to a report by JM Financial.

*Indian REITs deliver 6-7.5% yields, have reached Rs. 1,54,242 crore (US$ 18 billion) market as of August 2025 and are projected to surpass Rs. 2,14,225 crore (US$ 25 billion) by 2029 with expansion into retail, logistics and new-age assets.

Attractive
Opportunities

*Infrastructure development boosts transport efficiency, demand, and commercial opportunities.

*In March 2024, Prime Minister Mr. Narendra Modi inaugurated connectivity projects worth US$ 1.8 billion in Kolkata.

*In the Union Budget 2025-26, Union Minister for Finance & Corporate Affairs, Ms. Nirmala Sitharaman announced plans to connect 120 new airports in 10 years, targeting four crore additional passengers.

*Morgan Stanley projects India’s infrastructure investment to rise from 5.3% of GDP in FY24 to 6.5% by FY29.

*In January 2025, the government approved 56 Watershed Development Projects in 10 high-performing states with a budget of Rs. 700 crore (US$ 80.9 million).

Policy
support

*Union Budget 2025-26 includes continuation of a 50-year interest-free loan for states' capital expenditure, with an enhanced outlay of Rs. 1.5 lakh crore (US$ 17.30 billion).

*In line with PM Gati-Shakti National Master Plan, eight key infrastructure projects have been shortlisted: seven by the Ministry of Railways and one by the Ministry of Road Transport and Highways to improve efficiency in challenging terrains.

*Private sector access to relevant data and maps from the PM Gati Shakti portal will be provided for better project planning.

*Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) aims to modernize infrastructure and supply chains in the food processing sector.

*PMKSY focuses on reducing agricultural wastage, increasing processing levels, improving farmers' income, and generating rural employment.

Increasing
Investments

*In the Union Budget 2025-26, capital investment outlay for infrastructure has been increased to Rs. 11.21 lakh crore (US$ 128.64 billion), which would be 3.1% of GDP.

*According to CRISIL’s Infrastructure yearbook 2023, India will spend nearly Rs. 143 lakh crore (US$ 1,727.05 billion) on infrastructure in seven fiscals through 2030, more than twice the near Rs. 67 lakh crore (US$ 912.81 billion) spent in the previous seven years.

*As of October 14, 2025, London-based infrastructure investor Actis said India is one of the most attractive infrastructure markets globally and plans to explore ways to double its existing Rs. 17,500 crore (US$ 2 billion) investment in energy, roads, transportation and digital infrastructure over the next three to four years.

Snapshot Showcase Infographics Reports

Last updated: Nov, 2025

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