Growth Statistics of Construction Services in India
The infrastructure builds up and construction service has had a robust growth in India. It was driven by activities in irrigation, gas, airport, railway network, roads, housing and port building among others. The construction industry has recorded excellent steps in growth in the last decade even though it had a brief lull between 2007-2008. The total GDP has risen from 5.7% in 2007 to around 8.0 % in the year 2012. According to the planning commission, an investment of approximately $1 trillion has been earmarked for a five-year plan running from 2012-2017.
The growing joint of the public-private partnership has brought a lot of advantages to the industry. The lagging growth in the rural areas saw an impeccable improvement due to this partnership. There is still more room for the creation of more development with the private participation in the play.
The construction sector has given rise to employment both directly and indirectly. It has become the second largest source of employment in India after the agricultural sector. More than 250 ancillary industries such as brick, building materials, timber, steel, and cement have greatly benefited due to the robust growth of the construction industry. In turn, there is a rise in a number of expert builders and constructors. A lot of people are venturing in the industry as it is beneficial to them.
The only challenge in the construction industry is the high amount of capital needed. It is a challenge for small companies and start-ups because of their low financial status. Airports and seaports developments have experienced low construction activities as the urban development; housing and roads segments have had a very high demand.
The construction industry is very promising and therefore there is hope for a brighter future. As the country, India has a very long way and many miles to cover when setting up the infrastructure backbone.