Is India’s Mining & Construction Equipment Sector Set to Reach $45 Billion by 2030?
Click to start listening
Synopsis
India's mining and construction equipment sector is on the brink of a massive transformation. Expected to grow from $16 billion to $45 billion by 2030, this sector is crucial for the nation's economic development. Discover how strategic initiatives are paving the way for job creation and a stronger economy.
Key Takeaways
- The MCE sector in India is projected to grow to $45 billion by 2030.
- The sector is crucial for infrastructure and job creation.
- India is the fastest-growing MCE market globally.
- Over 20 million jobs may be created by FY30.
- The sector contributes significantly to India's GDP.
New Delhi, May 26 (NationPress) The mining and construction equipment (MCE) sector in India, presently valued at $16 billion, is anticipated to grow at an impressive 19 percent compound annual growth rate and reach $45 billion by 2030, as per a recent report by CII and Kearney released on Monday.
India has emerged as the fastest-growing MCE market among the world’s six largest economies, outpacing the US, Germany, and Japan, according to the findings.
The Confederation of Indian Industry (CII) and Kearney's vision report outlines strategies aimed at establishing India as a global manufacturing center for the MCE industry.
This sector plays a pivotal role in infrastructure, energy, and industrial development, representing a $18 trillion global market and contributing 16 percent to global GDP. In India, it is crucial for national progress, contributing 22 percent to GDP, ranking just below China, and providing jobs for over 70 million individuals.
The MCE market in India has shown robust growth, exhibiting a 12 percent CAGR over the past five years, solidifying the country’s position as a significant player on the global stage.
Forecasts indicate that the growth of the MCE sector could add over $100 billion to India’s economy by FY30 and create 20 million jobs, either directly or indirectly. This growth will be propelled by upstream and downstream industry expansion, job creation, and increased tax revenues.
The report introduces a bold Vision 2030 aimed at positioning India as a world leader in the MCE sector and outlines a comprehensive action plan.
To fully capitalize on the potential of Vision 2030, the report suggests essential structural and policy reforms. This includes establishing a single nodal agency for governance, a production-linked incentive (PLI) framework tailored for MCE, accelerating MCE exports through free trade agreements (FTAs), and fostering technology adoption and automation.
Additional recommendations include rationalizing tax and import duties, creating innovation forums like National R&D consortia and start-up accelerators, incentivizing green technology, and revamping underground mining regulations to tap into mineral resources.
Point of View
The focus on innovative policies and structural reforms is crucial. This report underscores the importance of strategic initiatives to ensure sustainable development and job creation, aligning with the country's aspirations for global leadership in this sector.
NationPress
08/06/2025
Frequently Asked Questions
What is the current value of India's mining and construction equipment sector?
India's mining and construction equipment sector is currently valued at $16 billion.
What is the projected growth rate for this sector?
The sector is projected to grow at a compound annual growth rate of 19%.
What is the expected market value by 2030?
The sector is expected to reach $45 billion by 2030.
How many jobs will this sector create?
The expansion of this sector is projected to create 20 million jobs.
What are the key recommendations from the CII-Kearney report?
The report recommends establishing a nodal agency, implementing a PLI scheme, and promoting technology adoption and automation.
