Construction Equipment Industry Records 26 Per Cent Year-On-Year Growth, Reaches 135,650 Units In FY24: ICEMA

The Indian Construction Equipment (CE) Industry witnessed a 26 per cent rise in Financial Year 2023-24 (FY24), with sales having increased to 1,35,650 units during the year as compared to 1,07,779 units of construction equipment sold in the previous fiscal year.

As per the annual industry data released by the Indian Construction Equipment Manufacturers Association (ICEMA), the government's infra-led growth agenda and pre-election impetus on projects in the pipeline triggered positive growth in all five major construction equipment segments.

"With total equipment sales crossing 1,35,650 units as against 1,07,779 lakh units in FY23, the Indian Construction Equipment industry has recorded a 26 per cent increase in overall sales volume for the financial year 2023-24, surpassing all projections," the report said.

"The industry's excellent annual performance has been a result of a significant increase in demand for construction equipment observed in both domestic as well as export markets, by 24 per cent and 49 per cent, respectively," it added.

As per the data, the total sales of Earthmoving Equipment (EME), which accounts for nearly three-fourths of total CE sales in India, increased to 93,531 units in FY24, which is 21 per higher than 77,164 units sold in FY23.

Similarly, the other two segments namely material handling and concrete equipment registered positive growth during the year.

The material handling equipment mainly comprising pick & carry cranes and telehandlers, recorded 61 per cent growth in sales volume in FY24, and accounted for 14 per cent of total CE sales, as compared to 9 per cent in FY23.

Concrete equipment such as concrete mixers, batching plants, concrete pumps, and boom pumps grew by 19 per cent year-on-year in FY24.

Further, road construction equipment, which was the only segment with negative growth in FY23, made a spectacular recovery in FY24 by selling 6,571 equipment units — a 40 per cent increase from 4,828 units sold in FY23.

ICEMA (Indian Construction Equipment Manufacturers Association) is the nodal body representing the Construction Equipment industry (OEMs, suppliers and FIs) in the country and is affiliated to the Confederation of Indian Industry (CII).