Factors Propelling Progress of Indian Construction Equipment Segment

The long-term prospect of India’s construction equipment market is apparently very significant. Let’s look at the factors which will make an improvement…
If the quantities are any truth, then the Earthmoving and Construction Equipment marketplace in India is likely to grow by 20 to 25 % over the next couple of years to reach 330,000 to 450,000 units sold in 2020, from present levels of about 76,000 units. This would mean $16 billion to $21 billion market, up from today’s $3 billion. Further, the sector is likely to get dominated by backhoe loaders, but broad-based expansion is expected across items, with each segment likely to see double-digit growth. Hence, the construction equipment firms in India have all the reason to say Cheers!
Elements in the favour of expansion of this equipment segment
Here is a list of six factors that may propel the industry forward in future:
� Demand from end-user industries: Desire from end users will continue to rise as a result of increased use of this equipment in classic end-user industries, including design and mining.
� Higher adoption in traditional software: Increased usage of this equipment in traditional applications such as digging and soil loading in order to raise the speed will propel the progress of the segment.
� Demand from new applicatio����ns: Demand for this applications is also expected to grow in new segments such as for example agriculture which typically faced issued like lack of access.
� Growing urbanisation: Urbanisation will also drive the demand for building activities and subsequently this equipment segment so as to meet residential, commercial and infrastructure development needs.
� Increased affordability. New individuals entering the market can make competition stiffer, thereby, making this machine less expensive. This trend is supposed to deepen the marketplaces to cover users with the machine needs and previously low accessibility.
� Better option of financing. More financing of this equipment will create wider use by encouraging consumers to choose these machines.
Future challenges along the way
� Availability of skilled manpower: Because the construction equipment industry will grow, the necessity for qualified operators and mechanics increase proportionately and this may very well be challenging for construction equipment businesses in India.
� Stiff competition: The emergence of new development equipment players in the coming years can make the competition stiff.
Power Tools and Construction Equipment
� Dependence on innovative solutions: With growing recognition, end-users will demand world-class systems for better fuel efficiency, larger productivity and profitability, therefore, this equipment manufacturers will need to come up with innovative solutions to meet customer expectations.
� Resale of used equipment will be difficult: Since, the secondary market for used this equipment isn’t fully produced in India, the resale of utilized equipment will be a challenge for the construction gear manufacturers in the country.
Despite these few issues, the long-term potential for India’s this equipment market appears to be very significant due to various factors propelling the growth of the segment. Foreseeing large construction activities underway, the structure equipment industry is defined to see a boom in coming days. Construction of highways, railways, bridges, ports, residential and commercial building appears to be on the cards of the government and private players and therefore, the construction equipment market is likely to remain bullish about the

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