Despite countless hiccups including GST and demonetization, the demand for construction equipment recorded an upswing by 24 per cent in 2017-18 as against 13 per cent in 2015-16 on account of increased infrastructure investment by the government, said a joint-study by ASSOCHAM-Feedback Consulting, adding that both GST and demonetization had a negligible effect on the construction equipment’s sector growth. As a matter of fact, the government is the largest end-customer accounting for nearly two-thirds of the demand for construction equipment. The study also noted that highway construction has been one of the key drivers for pushing the demand for construction equipment resulting in overall growth in the equipment industry. The Indian construction, mining equipment industry continues to be highly dependent on the demand for Backhoe loaders and Hydraulic Excavators, it added.
