India has the potential to establish itself as a leading global manufacturing and export center for mining and construction equipment (MCE) by ramping up localization, enhancing technology adoption, boosting research and development, and implementing supportive policy reforms. A joint report by the Confederation of Indian Industry (CII) and Boston Consulting Group (BCG) titled “Pressing the Throttle” evaluates India’s MCE sector’s current status and outlines a roadmap to bolster domestic manufacturing, enhance global competitiveness, and support long-term infrastructure and industrial growth. The report arrives amidst a surge in investments in infrastructure, mining, manufacturing, and clean energy in India.
The report forecasts significant opportunities for India’s MCE sector in the wake of sustained capital expenditure across various sectors like roads, railways, ports, airports, urban infrastructure, mining, and renewable energy. With an estimated market size of $17 billion and an annual growth rate of 10-12%, India’s mining and construction equipment industry has emerged as one of the world’s rapidly expanding markets. It anticipates a surge in capital expenditure in MCE-related sectors from around Rs 5.5 lakh crore in 2025 to Rs 9-10 lakh crore by 2030, driven by the nation’s infrastructure development agenda.
Despite India’s below-average mechanization intensity compared to the global average, the report identifies ample room for increased equipment demand, enhanced productivity, and wider adoption of advanced technologies. Notably, the report underscores the substantial growth in exports of mining and construction equipment over the past decade, opening avenues for Indian manufacturers to fortify their global presence. The industry is poised for transformation with the integration of technologies like automation, digitalization, electrification, and connected equipment, which are expected to reshape the sector and enhance its competitiveness.
CII Director General Chandrajit Banerjee emphasized the pivotal role of the mining and construction equipment sector in India’s infrastructure and industrial growth aspirations. Vivek Bhatia, Chairman of CII’s Mining & Construction Equipment Division, highlighted the sector’s crucial role in realizing the vision of Viksit Bharat by facilitating top-notch infrastructure, manufacturing, and mining. Managing Director and Partner at Boston Consulting Group, Abhishek Bhatia, pointed out that India’s mining and construction equipment industry stands at a critical turning point.
