Market Size of India Transportation Infrastructure Construction Industry
Study Period | 2020 - 2029 |
Base Year For Estimation | 2023 |
Market Size (2024) | USD 143.60 Billion |
Market Size (2029) | USD 208.71 Billion |
CAGR (2024 - 2029) | 7.76 % |
Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
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India Transportation Infrastructure Construction Market Analysis
The India Transportation Infrastructure Construction Market size is estimated at USD 143.60 billion in 2024, and is expected to reach USD 208.71 billion by 2029, growing at a CAGR of 7.76% during the forecast period (2024-2029).
- India is on track to continue its strong economic growth and become a trillion-dollar economy by FY47. This will create a huge opportunity for India's transportation and logistics industry, which is expected to see investments worth USD 146 billion over the next couple of years. To unlock the full potential of the sector, the private sector needs to work in tandem with the government.
- The government has launched several flagship initiatives to facilitate faster decision-making, optimize resources, and bring efficiencies in the cost of logistics. These initiatives include Gati Shakti, Maritime Vision, National Logistics Policy, National Rail Vision UDAN Scheme, and BharatMala Pariyojana, which aim to facilitate private sector investments by introducing proactive investment facilitation measures, alternative funding options, and simplifying exit strategies. If India aims to become a multibillion-dollar economy, it will need to increase private participation even more.
- While many initiatives are in place to promote private sector facilitation, there is still a long way to go before reaching the desired level. It is essential for private entities to learn from successful case studies, conduct due diligence, build sector-specific partnerships, and optimize their resources. The sector can unlock its true growth potential with the right policy environment and committed investors.
- To set the tone for discussion between stakeholders, this thought leadership highlights key policies/projects for private sector involvement, key target sectors for foreign capital, and how India is building a sustainable transport ecosystem. The aim is to facilitate the development of a roadmap to ensure that the Indian transport sector catches up and benefits from the multi-digit GDP growth that is projected for the Indian economy.
India Transportation Infrastructure Construction Industry Segmentation
Transportation infrastructure is the underlying system of public works designed to facilitate movement. Roads, railways, ports, and airports are all part of it. A complete background analysis of the Indian transportation infrastructure construction market, including the assessment of the economy and contribution of sectors in the economy, market size estimation for key segments, market overview, and emerging trends in the market segments, market dynamics, and geographical trends, and COVID-19 impact, is covered in the report.
The Indian transportation infrastructure construction market is segmented by type (roadways, railways, airports, and ports and inland waterways) and application (urban and rural). The report offers market size and forecast in terms of value (USD) for all the above segments.
By Application | |
Urban | |
Rural |
By Type | |
Roadways | |
Railways | |
Airways | |
Ports and Inland Waterways |
India Transportation Infrastructure Construction Market Size Summary
The Indian transportation infrastructure construction market is poised for significant growth, driven by robust government initiatives and increasing private sector involvement. The government's focus on enhancing transportation infrastructure is evident through various flagship programs such as Gati Shakti, BharatMala Pariyojana, and the National Logistics Policy, which aim to streamline processes, optimize resource allocation, and attract private investments. These initiatives are designed to create a conducive environment for private entities to participate actively in the sector's development. The collaboration between the government and private sector is crucial for unlocking the full potential of India's transportation infrastructure, which is expected to play a pivotal role in the country's journey towards becoming a trillion-dollar economy.
The market landscape is characterized by a mix of national and international players, with companies like Larsen & Toubro Limited, Meil, TATA Projects, Shapoorji Pallonji, and KEC International Limited leading the charge. The government's substantial investments in road, shipping, and port infrastructure are set to drive demand and foster competition within the market. Public-private partnerships have emerged as a vital source of investment, particularly in port infrastructure, where the Ministry of Ports, Shipping, and Waterways is actively promoting policies to facilitate private sector participation. As the market continues to expand, opportunities for new entrants remain, supported by a steady pipeline of projects and favorable government policies aimed at enhancing India's transportation ecosystem.
India Transportation Infrastructure Construction Market Size - Table of Contents
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1. MARKET INSIGHTS DYNAMICS
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1.1 Current Market Scenario
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1.2 Market Overview
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1.3 Market Dynamics
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1.3.1 Drivers
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1.3.1.1 Government Initiatives and Policies, such as "Make in India" and "BharatMala"
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1.3.1.2 Indian Cities Planning and Implementing Metro Rail Systems to Address Urban Congestion and Improve Public Transportation
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1.3.2 Restraints
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1.3.2.1 Bureaucratic Delays in Project Approvals
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1.3.2.2 Shortage of Skilled Labors Affecting the Growth of the Market
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1.3.3 Opportunities
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1.3.3.1 Development of New Transportation Hubs
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1.3.3.2 Growing Demand for Smart Transportation Systems
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1.4 Value Chain / Supply Chain Analysis
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1.5 Industry Attractiveness - Porter's Five Forces Analysis
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1.5.1 Bargaining Power of Suppliers
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1.5.2 Bargaining Power of Buyers/Consumers
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1.5.3 Threat of New Entrants
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1.5.4 Threat of Substitute Products
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1.5.5 Intensity of Competitive Rivalry
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1.6 Industry Policies and Regulations
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1.7 Technological Developments in the Sector
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1.8 Impact of COVID-19 on the Market
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2. MARKET SEGMENTATION
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2.1 By Application
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2.1.1 Urban
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2.1.2 Rural
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2.2 By Type
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2.2.1 Roadways
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2.2.2 Railways
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2.2.3 Airways
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2.2.4 Ports and Inland Waterways
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India Transportation Infrastructure Construction Market Size FAQs
How big is the India Transportation Infrastructure Construction Market?
The India Transportation Infrastructure Construction Market size is expected to reach USD 143.60 billion in 2024 and grow at a CAGR of 7.76% to reach USD 208.71 billion by 2029.
What is the current India Transportation Infrastructure Construction Market size?
In 2024, the India Transportation Infrastructure Construction Market size is expected to reach USD 143.60 billion.