Infrastructure spending will drive construction equipment (CE) growth. As per the 12th Five Year Plan estimates released, the following is the spending envisaged:The construction equipment manufacturing industry estimates that CE demand will cross 100,000 units during 2014, whereas the contribution of the CE rental business, perceived to be another growth driver, is expected to double from the present seven to eight per cent to 16 per cent by 2015. Even though the industry spirit is down a bit due to the volatility in oil and commodity prices and inflationary pressures, and to some extent the alleged scams and corruption charges, the overall picture is quite positive and the sector is bound to see growth every year, propelled by government policies and support from the private sector; to this end, mega expos like Excon is an indicator of the growth.The dramatic shift in terms of sales of construction equipment from classical markets to BRIC nations is already evident, as more global players are anchoring alongside Indian shores. Over the last half decade, the number of global OEMs entering the Indian market has shot up; this includes major players from Japan, US, Germany, Korea, etc. On the other hand, domestic companies have also been either expanding their domestic capacities or diversifying their product portfolio. The result: with the emergence of new market players and expansion plans underway, the industry is expected to become more competitive and as a result, more fragmented.Another perceptible shift is towards green procurement. Customers who rely on energy-efficient and environment-friendly machines will have an advantage over their competitors. The increasing fragmentation of industry with more players setting up production facility for specialised machines is an indicator of the industry going greener.More importantly, more OEMs are chartering different routes other than the classic ways of sales and services, to make it more holistic in terms of product offerings and relations with clients. Some leading OEMs have already started implementing the concept of MARC, though not in its full extent as it exists in the developed markets. Still, EI believes it is a new beginning.