BENGALURU: Corridor development projects are necessary to create the right eco-system to boost investment in the country, said Atul Chaturvedi, Joint Secretary, Department of Industrial Policy and Promotion, Ministry of Commerce and Industry.
Addressing the conference on ‘Rebooting Infrastructure’ organised by ICEMA and CII at EXCON 2015, Chaturvedi said the government has taken up corridor development projects such as Delhi-Mumbai Industrial Corridor, Amritsar-Kolkata, Visakhapatnam-Chennai and Bangalore-Mumbai.
The government’s ‘Make in India’ campaign has gained recognition from various MNCs. The most important aspect is infrastructure and urban growth.
“Our focus needs to be on how to make India part of the global value chain. Complete ease of doing business has been laid down in various policies for the construction industry at the central level,” he said.
He added that the construction equipment industry would get a boost from policies adopted in other sectors, including defence manufacturing and 100 per cent FDI in railway infrastructure development. He further said that the government had removed almost 60 per cent of items that posed a roadblock in licensing protocol for security clearances.
Vipin Sondhi, Chairman, Excon 2015, enumerated the initiatives required by the government in partnership with the industry that will have an impact on the economy. He said providing a level playing field for private capital was vital for the growth of the industry.
Recognising public private partnership is a necessary part in building infrastructure, Sondhi said adding that treating the private sector as an equal partner, competitive neutrality with the public sector, reversing the build, operate, transfer model and unshackling stalled projects would propel the growth of the construction equipment industry.
Anand Sundaresan, President, ICEMA, in his welcome address, said that the conference is being held at an opportune moment where on the one hand, there is huge potential for infrastructure development and opportunity for the construction equipment business to grow, on the other hand, the manufacturers of construction equipment are cautiously optimistic due to negative growth in the last three to four years.
Delivering the theme presentation, V Ravichandar, Chairman and Managing Director, Feedback Business Consulting, said among earth-moving equipment, backhoe loader continues to top the list and is expected to grow 6 per cent to reach 22,000 units during the end of FY16.