CII-organised Excon targeting 20-30% more deals this year

Bengaluru: Excon - the annual construction equipment and infrastructure trade fair organised by Confederation of Indian Industry - which will commence on December 12, 2023, at the Bengaluru International Exhibition Centre, is hoping to better last year's Rs 1,300-crore deals by about 20-30% this year.

Spread 32,00,000 square feet, the 12th edition of the 5-day exhibition will see participation from over 1000 exhibitors with estimated business visitors of 80,000. The exhibition will also see participation from 15 countries including Austria, China, Germany, Italy, Russia, Sri Lanka, Turkey, USA, UK and UAE among others with 5 country pavilions and 100 foreign exhibitors. 

Dimitrov Krishnan, co-chair of Excon told DH, “Though Bengaluru is a service-driven economy, construction equipment majors are also based here. In addition, the Karnataka government is focused on making every part of the industry (read as economy) successful.”  Infrastructure and tremendous mineral wealth in parts of Karnataka are other factors that make it a strong player for the construction industry, he added. 

A series of zero-emission launches, with over 20+ EV machine launches, is in focus this time. It will also see the launch of hydrogen-powered construction equipment and commercial vehicles. 

The world’s third-largest construction equipment industry, India, is expected to see a 20% year-on-year growth to grow $10 billion this fiscal, as compared to $8.5 billion in the previous fiscal.  The industry currently has about 85,000 machines and is all set to become the second largest by 2030 targeting a market size of $25 billion with 2.5 lakh machines. 

The current fiscal will be the largest for the construction equipment industry, with a 20% year-on-year growth. Fiscal 2024-25 will start with the impact of general elections scheduled in May, with an impact in the range of 12-15% followed by seasonal growth post-September, Krishnan explained. 

(From Left) Confederation of Indian Industry (CII) Chairman Vijaykrishnan Venkatesan Co-Chairman Dimitrov Krishnan and Regional Director of CII Southern Region NMP Jeyesh are seen during the Press conference about 12th Edition of EXCON by Confederation of Indian Industry (CII) in Bengaluru on Monday.

The construction equipment industry has been a major contributor to India’s infrastructure growth story. The key demand areas for the sector include roads and highways, railways and housing and urban infrastructure which includes metro rail development. Other areas which have led to the growth of construction equipment include mining, particularly coal and iron ore, and port infrastructure development. 

Krishna expects the budget to remain infra-focused, underlining the focus on policies to bring foreign direct investments (FDI) into the sector. He also suggested policies to push the adoption of sustainable technologies, particularly zero-emission products while encouraging government departments to incorporate particular percentages of usage of such equipment through incentives would be instrumental.