Global construction equipment sales hit an all-time high of 1.1 million units in 2018, with a retail value of approximately $110 billion, according to Off-Highway Research. This is redeeming news since China has caused a deceleration in growth of many industries by reporting moderation in its GDP figures. Although, improvement in equipment sales continued with increases in North America, Europe and Asia, sales of construction equipment in China, including mobile cranes, grew 37 per cent in 2018. This followed on from the 81 per cent surge seen in 2017 and took the market to 343,817 units. This was the highest Chinese equipment demand has been since 2012. India too had a great year. Sales of construction equipment grew 35 per cent, the third successive year of robust growth, generating sales of a record high of 98,204 units which is 45 per cent above the previous high seen in 2011.
Elections will determine the pace of growth in 2019-20. In all likelihood, this momentum will continue. The government announced gross market borrowing of Rs 7.1 trillion in 2019-20 as against FY19 which stood at Rs 5.71 trillion indicating a provision for the largest borrowing plan in the past nine years. This will ensure that the programs for development will continue unabated.
The world's leading trade fair for construction machinery, building material machines, mining machines, construction vehicles and construction equipment, BAUMA, is here once again. As the global heavyweights in infrastructure equipment and materials coming together on a common platform in Munich, the global industrial audience will be able to experience the latest disruptive technologies. With the kind of infrastructure projects and developments happening in our country, such disruptive technologies can help accelerate the speed and quality of project execution.
Motor grader market in the country has picked up in the past couple of years with the road projects are on fast track. The growth is not only in numbers, but also in technology. Manufacturers are focusing on features that provide better fuel efficiency, productivity, operator comfort, safety, etc. Read the "Cover Story" that explains these aspects and also on the overall market trends of motor graders in India. The paver market has been experiencing a lot of technology upgradations in the recent past. With the roads and highways segment on fast track, advanced technologies in pavers are expected to pick up further. The Feature discusses more on the technology trends. The CASH Feature on "Diesel Engines" brings forth the new developments happening in the market. The emerging trend is the transition to the next level of emission norms in off-highway equipment by October 2020.
Technologies such as SCR and new after-treatment solutions will play a major role in the new emission regulation regime.
While it is BAUMA in Munich, it is the election time in India! Do not forget to cast your vote! Let us choose wisely if we need to remain on the path to becoming a super power.