The Indian construction equipment sector saw a substantial rise in sales, reaching 135,650 units in the financial year 2023-24, thanks to the government's infrastructure-focused growth strategy. According to the Indian Construction Equipment Manufacturers' Association (ICEMA), this marked a notable increase from the 107,779 units sold in the previous fiscal year. The industry's success was attributed to the government's emphasis on infrastructure projects and the boost in demand observed in both the domestic and export markets, with a 24% and 49% surge respectively.
The statement highlighted that the earthmoving equipment category, the largest segment in the CE industry, witnessed a 21% jump in sales from 77,164 units in FY23 to 93,531 units in FY24, constituting around 70% of the total construction equipment sales. Within this category, backhoe loaders and crawler excavators saw significant growth, together accounting for 90% of the total earthmoving equipment sales. Material handling equipment, including pick & carry cranes and telehandlers, saw a 61% increase in sales volume in FY24, making up 14% of total CE sales, up from 9% in FY23.
Concrete equipment like mixers, batching plants, pumps, and boom pumps also experienced a 19% year-on-year sales increase in FY24. Moreover, road construction equipment showed a remarkable rebound in FY24, with sales of 6,571 units, reflecting a 40% surge from the previous fiscal year's 4,828 units, after experiencing negative growth in FY23. ICEMA, the Indian Construction Equipment Manufacturers Association, serves as the principal representative body for the Construction Equipment industry in the country and is affiliated with the Confederation of Indian Industry (CII).