BENGALURU, Dec 12: Union Minister Nitin Gadkari on Tuesday called upon the construction equipment industry to invest more in research so that it becomes number one in the world in the next five years.
He said the infrastructure sector has an important role in achieving the goal of a USD five trillion economy. However, without mechanised equipment the goal cannot be achieved.
“I’m giving you a task. We want to make the automobile and construction equipment industry be number one in the world in the next five years. That is the most important challenge but I am confident that people like you can achieve that goal,” Gadkari said at the 12th edition of EXCON.
The Confederation of Indian Industry, which is organising the event at the Bangalore International Exhibition Centre, said EXCON is South Asia’s Largest Construction Equipment Trade Fair.
Stating that there is a competition with China, the Union Minister said the whole world has a lot of faith in India.
“This is an appropriate opportunity for you that with your quality and with your research you can achieve the goal,” Gadkari, who holds the road transport and highways portfolio, said.
The minister said knowledge along with innovation, entrepreneurship, science, technology, research, skills and successful practices can be transformed into wealth.
“My request to all of you is that this is the time that you should invest more amount (of money) in research,” he added.
He told the manufacturers that their role is very important because quality infrastructure was not possible without good mechanised equipment.
The minister told the gathering that development of infrastructure has a key role to play in the growth of the Indian economy.
“The main infrastructures are water, power, transport and communication. Without these four pillars of the infrastructure, we cannot get capital investment. Without capital investment we cannot create employment potential and without employment potential we cannot eradicate poverty,” Gadkari explained.
He reminded the construction equipment manufacturers that good mechanised equipment is necessary for quality infrastructure.
Citing the example of the automobile sector, he said when he took charge as a minister nine years ago, the size of the industry was Rs 7.5 lakh crore, which has grown to Rs 12.5 lakh crore now.
According to him, three months ago, India surpassed Japan, and now it is in third as far as the automobile industry is concerned.
“China is in first place, the USA is second and India is in the third position. I feel that even in the construction equipment manufacturing sector, Indian industry is in third place,” the minister said.
The size of the construction equipment industry is Rs 70,000 crore, and its total volume is 1.2 lakh units and domestic sale are about one lakh equipment. Current year-on-year growth in sales is 26 per cent and the export is 14,000 equipment, he said.
The estimated investment from the market is Rs 30,000 crore and this industry creates 30 lakh jobs. The construction equipment sales are projected to increase three times to touch 2.5 lakh units by 2030, he added.
“You’re not only a wealth creator, but you are a job creator,” Gadkari said. (PTI)
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