Indian auto component industry likely to grow 8-10% in FY23

According to rating agency Icra, the Indian auto component industry might have 8% to 10% growth in Financial Year (FY) 2023, due to the easing of supply-chain issues along with commodity inflation in the next half of the year.

All eyes on Excon!

The year started with venues opening up slowly after a lull in the last two years. In line with the growth of the industry, the 11th edition of Excon—termed South Asia’s largest construction equipment (CE) and construction technology trade fair—will take place at the Bangalore International Exhibition Centre (BIEC) from May 17-21.

Icra slashes growth forecast for auto components industry to 17-20 pc for FY22

According to Icra, the components industry is now expected to grow at 17-20 per cent in 2021-22, partly aided by "the low base of last year and commodity passthrough" besides growth driven by domestic OEM, replacement and export volumes.

Tech Drives Backhoes

Backhoe loader manufacturers are leveraging digital technology by integrating Big Data and the Internet of Things in their models.

The D-factor

Where the demand will be coming from for the construction equipment industry?

Outlook on CE sector revised to ‘stable’: ICRA

Heightened focus on infrastructure spend, particularly in the road infrastructure segment has led to a sharp scale up in volumes since July 2020, resulting in +20 per cent YoY growth during July-January 2021 period.

Domestic road transportation sector rebounds

The recovery has also been visible across other modes of transportation as well - rail freight traffic and port freight volumes have both reported growth, although the latter at a slower pace than other modes

BEML CMD: Five factors that will boost demand for CE

Earthmoving segment is expected to continue its dominance in the near future, Rajasekhar says

Outlook on CE sector revised to ‘Stable’ with sharp volume recovery: ICRA

Two critical demand headwinds in the coming quarters are - the continued limited fiscal bandwidth with State governments to invest in infrastructure and the price hikes following the upcoming emission norm change in April 2022

Prioritising ports

The modernisation of ports is a prerequisite. The various policy measures announced in the sector are expected to increase investor confidence in the sector which in turn will translate into great opportunities for growth in the port equipment market.

Rural infra, healthcare to drive demand for CE

The construction equipment industry sees two emerging categories—infrastructure development in rural India and the creation of a strong healthcare system—as growth drivers in the coming years, even as the industry sees green shoots with the revival of infrastructure projects.

ICRA forecasts moderate CE volume growth

The domestic construction equipment (CE) industry may see moderate volume growth this fiscal as dealers have reported a rebound in demand in the second quarter, according to an ICRA report.

Mining opportunities and challenges

Ritabrata Ghosh, Associate Head, Corporate Sector Ratings, ICRA writes on the mining scenario in India.

MCE market to witness volume growth in CY2021

Roads and highway projects and rural development to drive growth.

ICRA predicts construction equipment volume growth in CY2021

Central Government projects in roads and rural development will drive demand

CE industry to de-grow in 2020

In the aftermath of the Covid-19 pandemic, the overall sales of construction equipment in the country in CY2020 are expected to diminish by 15-20 per cent.

CE industry to de-grow in 2020

In the aftermath of the Covid-19 pandemic, the overall sales of construction equipment in the country in CY2020 are expected to diminish by 15-20 per cent.

Budget cuts by states to adversely affect construction contractors: ICRA

The overall capex budgeted by states for FY2021 is likely to witness steep cut.

We are preparing ourselves for the future

With timely planning and execution, the government will be able to alleviate the current situation and lead the construction market on the road to recovery. Puneet Vidyarthi, Brand Leader, CASE India, CASE Construction Equipment, shares more on the market scenario.

CE industry to de-grow by 15-20 per cent in CY2020

The Indian construction industry is facing numerous headwinds as a result of the economic slowdown and other factors impacting the construction activity.

CE industry to de-grow by 15-20 per cent in CY2020

The Indian construction industry is facing numerous headwinds as a result of the economic slowdown and other factors impacting the construction activity.

Braving challenges

With this March marking the closure of another financial year in the country, the world economy is reeling under a host of issues ranging from the slowdown that hit the market for more than a year to the coronavirus scare.

Towards Greener Future

Asphalt is regaining traction in the Indian road construction due to its better recyclability and the freedom to use waste materials like plastics along with asphalt mix. The future looks greener for asphalt mixing plants.

Infrastructure push drives CE demand

With the government is pushing for more infrastructure development in the country, construction equipment market will see demand growth in future.

Mining Gains

The recent policy initiatives by the Central Government are expected to boost the mining activities in the country, providing new opportunities to private and global miners, and equipment and technology providers.

Mining Needs a Leg-up

For India to achieve its full potential in the mining sector, policymakers need to give a leg-up in lifting the mining sector on a high growth path. Jayanta Roy elaborates on the mining industry scenario in India.

ICRA revises outlook on CE sales negative

Industry volumes have contracted by 16 per cent in the key product categories of backhoe loaders, excavators and wheeled loaders.

The Festival is back, Are Festivities back?

The current slowdown is giving a drubbing to the Indian construction equipment (CE) market with the equipment sales diving drastically in the past few months in contrast to what the industry had anticipated during the start of the year.

THE ROAD AHEAD

The roads and highways sector is expected to bounce back soon with the government's corrective measures to combat slowdown and the large number of projects planned in the coming years. The road equipment players are bullish on the future growth prospects.

ICRA sees negative outlook on CE sales

Following a sharp correction in unit sales amidst slowing economic growth and infrastructure investments, both by the public and private sector; and tight liquidity environment, ICRA has revised the outlook on the construction equipment (CE) sector to negative.

Banking on Coal Mining

While coal mining and quarrying will drive the growth of mining equipment, other mining segments will see a relatively lower growth demand for mining equipment. Pavethra Ponniah, elaborates more on the market trend.

Sustainable Market for Trucks

Pick up in infrastructure spending and construction activity, especially in roads and highways, irrigation and affordable housing segment, will continue to support demand for construction trucks.

MCE industry looks for recovery post elections

Demand for mining and construction equipment post-elections will depend on the function of a stable government and continued focus on infrastructure investments.

ICRA predicts robust long-term outlook for mining construction equipment industry

The Indian mining and construction equipment (MCE) industry is likely to see a moderation in demand growth which is expected to fall to 4-6 per cent in the medium term, more particularly during CY2019.

The year of construction technology

Prime Minister Narendra Modi on March 2, 2019 declared April 2019-March 2020 as the Construction-Technology year and stressed on the use of advanced technology to meet the increasing demand of affordable housing and provision of Housing for All by 2022.

Riding on infra push

Pick-up in infrastructure spending and construction activities is expected to drive the demand for tipper trucks in the coming years.

ICRA envisages stable outlook for construction sector

Rating agency ICRA estimates a stable outlook for the construction sector in India, supported with strong order inflow in the last couple of years and a huge pipeline of projects to be awarded in the infrastructure segment.

Equipment companies exhibiting at bauma CONEXPO INDIA 2018 speak!

"Mining equipment industry is on a high-growth trajectory"

Caterpillar products and services are designed to meet the high production and low cost per tonne demands of the industry.

Looking for a Turnaround

GST positive for road logistics sector

The effect of the GST implemented in July 2017 has been largely positive for the road logistics sector and has led to several benefits. As per ICRA's comprehensive survey covering approximately 50 transport companies pan-India and 15 consumer-oriented companies across various sectors, the findings have been encouraging, though a lot remains to be achieved.

Freight demand picks up in second half

With industrial output and consumption-driven sectors recovering in H2 FY2018 from the initial lull post GST implementation, the freight demand in the country has also reported healthy pick-up during the second half of the previous fiscal.

GST positive for road logistics sector: ICRA

The effect of the GST implemented in July 2017 has been largely positive for the road logistics sector and has led to several benefits.

CONCRETE BATCHING PLANTS

Concrete is a major constituent of infrastructure projects: mainly in real estate, roads and highways, railways, sea ports, airports, power plants, irrigation and urban modernisation sectors.

Privatisation of coal mining

India's coal demand-supply balance still remains tilted in favour of coal imports as the state-run miners, Coal India and the Singareni Collieries Company have been unable to entirely meet India's coal demand, especially for higher grade thermal coal/washed coal and coking coal.

Global metal market trends

The global economy is doing well. Growth already beat expectations this year and the global economy will continue to quicken in 2018.

Infrastructure on fast track

The Indian infrastructure sector is not slowing down anytime soon, given the government initiatives and market demand. This makes it a feasible environment for the growth of construction equipment, writes Andy Dhanaraj, Director - Sales, Caterpillar India.

100 per cent FDI in coal mining likely to attract more global investment

According to an ICRA report, opening up commercial coal mining for the private sector and allowing 100 per cent foreign direct investment (FDI) are likely to attract global miners to invest in India.

Mining Equipment Trends

The mining equipment industry (MEI) is heavily dependent on equipment demand from coal and iron ore mining, both being highly equipment intensive, with over 30 per cent.

Revival on Cards?

India is witnessing an improved growth trend in coal mining, as Coal India Ltd (CIL) is aiming an output of one billion tonne by 2020. CIL has earmarked a capital investment of Rs 57,000 crore, as part of the road map for one billion tonne target, with a planned capex of Rs 8,500 crore in 2017-18.

Container volume growth at non-major ports posts CAGR of 20% in 5 years

Container volumes at non-major Indian ports have registered a combined CAGR of 20 per cent (from 1.7 million TEUs to 4.5 million TEUs) for the last five years (2012-17) as against a meager CAGR of 2 per cent (from 7.7 million TEUs to 8.4 million TEUs) by major ports in this period.

Coal import decline to impact port players

The rating firm ICRA has cautioned against the continuing decline in coal imports that may impact long term returns for port players with high concentration of coal cargo.

More engines of growth needed

Off-Highway Research reports a turnaround in the global construction equipment (CE) market, which is expected to grow 16 per cent this year.

Mining and construction equipment market to grow by 13-17% in 2017

According to the rating agency ICRA, the mining and construction equipment (MCE) sector is likely to grow by 13-17 per cent during 2017. The demand for MCE grew by over 35 per cent during 2016.

Metallurgy Trends in Construction

Steel and metals play a major role in the construction industry. Alireza Moghaddam explains on the use of metals in construction and the new trends and the emerging market opportunities.

Logistics sector to grow at 9-10 per cent| ICRA

The logistics industry in India is likely to grow at a rate of 9-10 per cent over the medium-term on the back of economic recovery, according to rating agency ICRA. The trend towards outsourcing of non-core activities like logistics, warehousing, and associated activities to integrated players is likely to drive the share of the organised segment.

Affordable housing market to grow

According to an ICRA report, demand for affordable homes is set to stay healthy, with the market poised to touch the Rs 6.25 lakh crore mark by 2022, supported by a growing population, young demographic profile, shift towards nuclear families and rapid urbanisation.

Brexit?s Impact on India

Brexit as an event will impact the future of the UK and EU. This victory for exit, however narrow, came as a surprise as pre-voting polls predicted the results to be otherwise. The next step is to ratify the Article 50 of the Lisbon Treaty. But before the treaty there are a lot of issues which need to be worked out.

Tyre demand to grow 6-7%

Research and rating agency, ICRA, expects the domestic tyre demand to report a volume growth of 6-7 per cent, supported by a broad-based revival in automotive original equipment manufacturers (OEM)

Sour CE Issue

Essentially, CE selection and procurement is a complex metrics-based decision making activity that requires active involvement of the concerned stakeholders of an organisation.

Road project execution rate to pick up

According to an ICRA report, the execution rate in Indian road industry increased by 38 per cent to 5.49 km/day during April-June 2015 as against 3.98 km/day

Truck sales up

According to an ICRA report on commercial vehicles industry, the M&HCV (Truck) sales will continue to expand at steady pace (up 24.6 per cent).Replacement demand and improving viability of fleet operators are driving the M&HCV sales.

Recovery in mining, construction equipment

According to an ICRA report, demand in the mining and construction equipment industry would recover towards the end of the current fiscal followed by a sharp growth in next financial year.

Smooth Ride Ahead

Tyre market in India is on a revival mode with some demand growth in the coming years. Starting this year, major user segments like mining, construction and material handling (ports) have become more active with government opening up coal blocks, investment plans for roads, ports and other infrastructure segments.

Road 2 recovery

Despite the present day gloom in the market, the future for the construction equipment sector, especially for the road equipment segment in India, still holds much potential as this sector has a profound and immediate impact on the country?s economic growth. Off-Highway Research is optimistic about the growth in demand for road equipment and forecasts growth at a CAGR of 12.67 per cent over the next five years. Agith G Antony finds out more about the positive vibes in the industry.

Auto component players may invest Rs 7,000 cr

According to the rating agency ICRA, the auto components industry may invest around Rs 7,000 crore over the next three years on new projects, though its revenue growth will remain weak in the absence of domestic demand and an uncertain global economic environment.

Will elections energise the economy?

It seems that we are stuck in the same narrative, which is playing on a loop, told and retold over the past couple of years. The gist of that tale is: even though short-term prospects are not too bright, the slowdown and resultant sluggishness in the CE market is a temporary blip; the long-term growth prospects still look promising

MCE performance to decline

According to ICRA, the mining and construction equipment (MCE) industry is expected to witness a decline in volumes this fiscal owing to slow pace of infrastructural investments and various regulatory hurdles.

Volume of mining and construction equipment sector may fall

Ratings agency ICRA expects subdued near term outlook for the mining and construction equipment industry with demand for equipment expected to remain sluggish. The agency expects sluggish demand for equipment because of the slow pace of infrastructural investments, weak business confidence and continued regulatory issues surrounding mining

Steadily chugging ahead

Even though the road sector in India continues to face multiple challenges, a strong pipeline of projects supports long term prospects. Around $180 billion investment is earmarked for the road sector, which is the highest ever investment for any Five Year Plan, and this should have a very positive impact on the construction equipment industry. The prime factor favouring the growth of the road equipment industry is the sheer scale of work still to be done in this sector.

Road to elections

Even though the demand for construction equipment for the road sector has been sluggish in 2012, there still exists tremendous potential for the construction equipment industry, given the infrastructure deficit in the country. However, unfortunately, the government has little fiscal headspace and thus, is unable to stimulate growth by undertaking investment in the infrastructure sector.