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Infrastructure Sector Push Escalates in India

10th Dec 2015 Concrete Industry News, Kryton Buildmat Co. Pvt. Ltd. by Anandita Kakkar

The 2015 – 2016 fiscal year in India has been dominated by infrastructure. In March 2015, when the current government launched its first full year annual budget, the intention was clear: kick-start the infrastructure investment and unblock the pipeline. KPMG released a document stating, coal terminal mundra 1“Indeed, by increasing public spending, creating new infrastructure funds and laying out the foundations for a stronger, more transparent PPP process, the government seems committed to addressing the key challenges that have long been raised by international and domestic investors.”*

Over the last year the government has taken numerous initiatives to boost the Indian infrastructure sector:

  • In the Budget 2015-16, the capital outlays for roads, and railways have been increased by Rs 140.3 billion (US$ 2.11 billion) and Rs. 100.5 billion (US$ 1.51 billion) respectively.
  • The World Bank has approved a US$ 650 million debt funding for a part of the eastern arm of the Dedicated Freight Corridor (DFC) project in India.
  • International Finance Corporation (IFC), part of The World Bank group, plans to invest at least US$ 700 million in existing transport and logistics infrastructure projects in India.
  • The Government of India has earmarked Rs. 50,000 crore (US$ 7.53 billion) to develop 100 smart cities across the country. The Government released its list of 98 cities for the smart cities project in August 2015

(Much more of these initiatives can be read in full here.)

As we enter the last quarter of the Indian financial year, there are no signs of a slow-down for infrastructure growth. In fact, we are seeing a higher influx of foreign funding entering this space. The construction industry is gearing up to keep pace with the expected rush and is looking Waterinternationally for innovative methodology to create structures to change the Indian and global economy.

With these FDIs also comes the promise of using Indian manufacturing products in every big or small project. These infrastructure projects are aimed at increasing the Indian manufacturing prowess and boost the nation’s capacity to produce, use, and export. Projects such as dams, railroads, bridges and roads are meant to connect each corner of India and let the whole nation grow as one. One of the most important projects that will boost the Indian economy is the dry and wet ports. The government is anticipating an enormous flow of products through these ports. To keep up with growth, they are investing heavily to create structures that can sustain expected work capacities.

With infrastructure being such a high point, the Indian construction industry is already gearing up to meet the tight deadlines and deliver projects which live up to international demands. That’s where new products, solutions, and processes are finding national acceptance. This is leading to the boost in the industry with regards to innovation, research, and most importantly planning.

As the country gears up to a new wave infrastructure and industrial growth, Kryton Buildmat looks forward to providing solutions in the creation of structures that live up to the dream of new India.

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