Construction Equipment Industry Expecting to Reach 30% Growth in FY18

Infrastructure growth holds the key to the industry realizing its potential in India. In the 12^th Five Year Plan, the government has earmarked approximately $1 trillion for infrastructure investment, with 40% of the funds to come from the private sector. In order to attract such investment, the Indian government has eased Foreign Direct Investment (FDI) norms for quite a few sectors of infrastructure development.

This is likely to spur the demand for the earthmoving and construction equipment, and if the industry's full potential is realized, the result could be a $16 billion to $21 billion industry by 2020.

Shriram Automall India Limited (SAMIL) the largest player in the used vehicle & equipment market understands that Indian Construction equipment segment is the most volatile segment of the industry.

As the segment faces ups & downs on regular basis. In 2007, for the first time it faced demand exceeding 50,000 units in India. Since, then due to modifications in the infrastructure, construction and mining sector in India, construction equipment segment has become one of the fastest growing segments of automobile industry in India.

In terms of the number of units sold, the Indian construction equipment market is dominated by six machine types. Of these, backhoe loaders, crawler excavators, mobile cranes and wheeled loaders face quite more demand.

At SAMIL, professional team for this particular segment while anticipating the customer demand and requirements make sure to provide best in class used construction equipment of every make and model at optimal prices through most reliably transparent platforms i.e. Physical Bidding, Online Bidding, Desktop Bidding and MySAMIL Mobile App.

In FY 2016-17, total of 68,000+ equipments were sold. Similar growth was witnessed in beginning of FY2017-18. Thereby the growth has been witnessed despite GST on construction equipment remaining at highest bracket of 28%.

Sameer Malhotra (CEO, Shriram Automall) added “2017, has been a great year for both new and used construction equipment industry. As the construction equipment sector grew 25-30% in August and September this year and thereby I am expecting similar performance for the rest of FY18. There have been some challenges but August and September numbers show that GST has been positive for the industry)

If you are looking forward to acquire a used construction equipment of your choice, visit your nearby Automall today or simply click the link below to register yourself or Download MySAMIL App.

Link: https://goo.gl/tk9WYw 

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