Construction is one of the most vibrant and growing industries in India. By 2025, it is estimated that India will become the third largest construction market across the globe. Fascinating, right? Here are a few more facts to be looked:
1. It is expected that by 2025, India will be adding 11.5 million new homes each year. Thus, making the construction market in India $1 trillion a year market. It is estimated that by 2025, India, the USA, and China will contribute 60% of all the global growth in the construction sector.
2. The real estate sector in India is one of the prime contributors to the GDP of the nation. In 2011-12, it accounted for 8% of the total GDP. Also, the construction industry is the key employment generator in India.
3. Did you know that the Iron and Steel industry in India contributes 2% of the nation’s GDP and contributes $24 billion to country’s $1.2 trillion economy?
4. It is the third largest producer of steel in the world. India is preceded by China and Japan. In 2010, India produced 62.8 million tonnes of alloy.
5. As the infrastructure is developing at a fast pace, the demands for construction equipment (including home construction materials) is expected to jump further. The sale of construction equipment is estimated to rise to 96,700 units in 2018 from 50,000 in 2007. In 2015, the sales of construction equipment reached 68,200 units.
6. The construction industry in India comprises of three major segments: The General Sector (which includes building home, industrial and commercial complex), Heavy Engineering Construction (includes constructing roads, bridges, harbours), and Special Trade Contractors (includes plumbing, electrical works).
7. According to the housing index of The National Housing Bank, house prices in India reached an all-time high of 233 index points in 2015.
8. The paint and coating industry is significantly associated with the construction industry. It is expected that it will hit $9 billion in 2017.
9. In the last 10 years, infrastructure output has increased at an average of 5.34% per month.
10. In India, the total construction spending was measured $427 billion in 2013, which was the third-highest in Asia.
Hopefully, these facts have helped you understand the market scenario and the position of the construction industry in India.