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India's construction equipment industry records 47% rise in sales
27 Oct 2021 CW Team
As per the recent report by ICEMA, an affiliated sectoral industry association of industry body, CII, India's construction equipment industry recorded a robust quarter on quarter sales rise of 47% for the second quarter ending September.
It is being observed as yet another indicator of the revival of economic activities and especially in the construction sector. The information shared by the Indian Construction Equipment Manufacturers’ Association (ICEMA) also reveals that the total sales of these equipment during the past quarter was 4% more than the corresponding period in 2020-21 and 17% more than that of the same period in 2019-20. The construction sector is one of the significant employment generators in the Indian economy, so the increase in sales of such equipment is a positive indication for the economy. The President of ICEMA, Dimitrov Krishnan, who is also the MD of Volvo Construction Equipment, told the media that while the last two years have been challenging, the construction equipment is now observing green shoots of recovery and increase at the back of the government’s constant drive for infrastructure expansion in the nation. A few of the significant focus areas of the government have been expedited development of highways and laying of railway tracks. This increase in the sales of the construction equipment also obtained more significance considering that there was a sharp 58% drop in the sale of this equipment in the first quarter of FY22. The data show that the total sales of the construction equipment stood at 21,323 units during the July-September quarter as against 14,522 units sold in the preceding quarter. The growth was led by stimulated sales of earthmoving equipment, which surged by 51% and material handling equipment by 45%). The other three categories comprising road construction equipment, concrete equipment and material processing equipment recorded a jump of 35%, 31% and 17% respectively, over the previous quarter. Image Source
