The construction industry in India is valued at over $126 billion. About half of the demand for construction comes from the infrastructure segment such as bridges, tunnels, dams, roads, and power plants. High demand also comes from industrial activities, housing, and building development.
India’s construction sector can be divided into the following categories:
- General contractors – build residential, commercial, and industrial buildings
- Heavy engineering construction contractors – build roads, highways, tunnels, ports, and bridges
- Special trade contractors – specialize in carpentry, painting, plumbing, and electrical work
Some top domestic construction companies in India and their services include:
- Hindustan Construction Company – hydro power, water solutions, transportation, and nuclear power
- Larsen & Toubro Construction – electrical system design, mechanical system engineering, feasibility studies, and civil and structural construction for industrial and infrastructure projects
- Punj Loyd – engineering, procurement, and construction management; infrastructure projects such as buildings for commercial and industrial areas, townships, and industrial parks
- Gammon India – transportation, power projects, transmission and distribution, pipelines, structures, irrigation projects, and ground engineering and water supply
- Nagarjuna Construction Company – industrial and commercial buildings, housing projects, IT parks, shopping malls, sports complexes, and hospitals
Selected top foreign players in India’s construction industry include:
- Bechtel (California) – designs refineries, power plants, aluminum smelters, and liquefied natural gas processing plants
- Halliburton (Texas) – serves upstream oil & gas industry by locating hydrocarbons, drilling, and constructing reservoirs
- Fluor (Texas) – provides engineering, design, procurement, and construction management services
- Jacobs (California) – provides construction management, project management, and modular construction and fabrication services
- Veolia Environnement S.A. (France) – partners with local public authorities in India to provide safe sustainable water in rapidly growing cities
- Aqualyng (Norway) – provides services such as desalination, wastewater, zero liquid discharge, and sewage treatment plants
- Alstom (France) – provides engineering, manufacturing, transmission, and transport services for electrical grid, power generation, and rail systems product sectors
- GIZ (Germany) – focuses on sustainable economic, environmental, and social development in India
Construction Equipment
Construction equipment sales are projected to increase 9.7% annually to reach 82,000 units by 2016. Companies specializing in engineering, design off-shoring, exports, and finance are prevalent in this category.
Construction equipment is comprised of the following categories:
- Earth-moving equipment – 57%
- Concrete equipment – 19%
- Material handling and cranes – 12%
- Road-building equipment – 9%
- Material processing – 3%
Some major equipment manufacturers and their products include:
- J.C. Bamford Excavators (U.K.) – earth-moving equipment such as backhoe loaders, wheeled loaders, excavators, skid steer loaders, telehandlers, compactors, telescopic handlers, engines, and pick-&-carry cranes
- Bharat Earth Movers (India) – bull dozers, excavators, dumpers, rope shovels, pipe layers, sprinklers, and motor graders
- Greaves Cotton (India) – compaction and concreting equipment including transit mixers, concrete pumps, heavy tandem rollers, soil compactors, and batching plants
- Elecon Engineering Co Ltd. (India) – elevators, conveyors and moving machines, gears, and crushers
Cement Industry
India has the second largest cement industry in the world. More than 40% of cement plants are located in the states of Andhra Pradesh, Rajasthan, and Tamil Nadu. Private companies comprise 98% of India’s 300 million ton cement production.
The housing and infrastructure industries are in highest demand of cement. The largest domestic cement manufacturers include UltraTech Cement, Shree Cement, Jaypee Cement, and ACC Limited.