Statistics, news & updates: everything you need to know about the Construction Industry in India

Construction Industry Expertise in India
  • Summary
  • Industry Clusters
  • Growth Drivers
  • Key Players
  • Market Stats


Due to continuing urbanization, needed infrastructure projects and a growing population base, the construction industry in India faces ongoing project opportunities and is the third largest contributor to economic growth. The industry employs more than 40 million people and has a large pool of workers at a low costs. India’s need for up-gradation of infrastructure and various governmental flagship programs like ‘Smart Cities’, ‘Housing for All’, ‘Make in India’ and ‘Atal Mission for Urban Rejuvenation and Transformation’ (AMRUT) will drive growth and are expected to attract foreign investment. India’s Government wants to increase public private partnerships with foreign companies in this sector. India’s massive investment opportunities are luring global players and almost all major international construction equipment companies are already doing business in India.

Map – Industry Clusters

Map- Clusters - Construction Industry

Growth Drivers

  • Population growth, Urbanization, Industrialization and rise in disposable income are key growth drivers of the industry
  • Expected to be world’s 3rd largest construction market by 2030, with the contribution to GDP increasing to 15% by 2030.
  • 100% FDI under the automatic route is allowed in the construction development sector
  • India’s demand for cement is expected to reach 500-600 million tons per year until 2025
  • Government’s efforts to improve residential and transport infrastructure.
  • Government ready to mobilize a USD 1 trillion investment plan over the next five years.
    650 Billion USD investments in urban infrastructure estimated over next 20 years
  • 100 smart cities to be developed by 2020

Key Players in India


  •  Alstom, Turner Construction, Hines, GIZ, Tishman Speyer, Veolina, Ascendas, Aqualyng, Emaar properties, The Trump Organization, Hydro-Comp Enterprises, Tishman Speyer


  • Prestige Estates, Tata Projects, DLF, Indian Railways Construction Ltd., Hindustan Construction Company, Unitech, Godrej Properties, India Bulls, Larsen&Toubro

Market Stats

  • The construction industry GVA share accounted to 7.8% in FY18
  • Share of infrastructure spending in the construction sector as a part of India’s GDP rose to 9% in 2017
  • Second largest employer, employing more than 35 Million people
  • Indian Real Estate market estimated to grow to $17.5 billion in 2020
  • Construction Industry is valued at over $126 billion
  • FDI April 2000 to December 2017 in the Construction Development sector (townships, housing, built-up infrastructure and construction development projects) from stood at USD 24.67 billion and in Construction (Infrastructure) activities stood at USD 12.36 billion.
  • $650 Billion investments in urban infrastructure estimated over next 20 years
  • Institutional investments in Indian realty touch $4 billion in 2018
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