This is being seen as yet another indicator of revival of economic activities and particularly in the construction sector.
The construction sector is one of the major employment generators in the Indian economy.
With the economy on rebound, India’s construction equipment industry posted a robust quarter-on-quarter sales growth of 47 per cent for the second quarter ending September, according to the recent report by Indian Construction Equipment Manufacturers Association (ICEMA), an affiliated sectoral industry association of industry body, CII.
This is being seen as yet another indicator of revival of economic activities and particularly in the construction sector. The data shared by the Indian Construction Equipment Manufacturers’ Association, also shows that the cumulative sales of these equipment during the last quarter was 4 per cent more than the same period in 2020-21 and 17 per cent more than that of the corresponding period in 2019-20.
The construction sector is one of the major employment generators in the Indian economy and so the growth in sales of such equipment is a positive sign for the economy.
“While the past two years have been challenging, the construction equipment is now witnessing green shoots of recovery and growth at the back of the government’s continuous push for infrastructure development in the country,” said Dimitrov Krishnan, president of ICEMA, who is also the MD of Volvo Construction Equipment.
A few of the major focus areas of the government have been accelerated construction of highways and laying of railway tracks. This growth in the sales of the construction equipment also gained more significance considering that there was a sharp 58 per cent decline in the sale of these equipment in the first quarter of the current financial year.
The data shows that the total sales of the construction equipment stood at 21,323 units during July-September quarter compared to 14,522 units sold in the previous quarter.
The growth was led by accelerated sales of earthmoving equipment, which increased by 51 per cent and material handling equipment by 45 per cent.
The other three categories including road construction equipment, concrete equipment and material processing equipment also registered a growth of 35 per cent, 31 per cent and 17 per cent respectively, over the previous quarter.