Mining and Construction Sector Capex May Reach ₹10 Trillion by 2030

Capital expenditure across sectors linked to mining and construction equipment could nearly double to ₹10 trillion by 2030, according to a report released by the Confederation of Indian Industry (CII) and Boston Consulting Group (BCG). The report highlights strong growth prospects driven by investments in highways, metro rail networks, ports, airports and critical mineral extraction.

In 2025, capital expenditure across these sectors stood at ₹5.5 trillion. The findings underscore the growing importance of the mining and construction ecosystem in supporting India's infrastructure and industrial ambitions.

Mining and Construction Capex Expected to Double by 2030

The report projects that capital expenditure across mining and construction-linked sectors could increase from ₹5.5 trillion in 2025 to nearly ₹10 trillion by 2030. Rising investments in transport infrastructure, urban development projects and resource extraction are expected to support this growth.

National highway construction, metro rail expansion, port modernisation and airport development remain key drivers of equipment demand. Increased focus on critical minerals is also expected to create new opportunities for the sector.

Mining and Construction Industry Contribution to India's Economy

According to the report, India's mining and construction output currently stands at about USD 430 billion. The sector contributes close to 11% of the country's GDP and supports the livelihoods of more than 70 million people across the value chain.

Its role extends beyond infrastructure development to employment generation and industrial growth. The report emphasises that the sector remains vital to meeting India's long-term economic and development objectives.

Technology Trends Reshaping Construction Equipment Industry

The report notes that the global mining and construction equipment industry is undergoing rapid technological transformation. Key trends include electrification of machinery, connected fleet management systems, autonomous equipment and evolving ownership models.

These technologies are improving productivity, safety and operational efficiency across projects. The report states that adopting such innovations will be important for ensuring Indian companies remain competitive in domestic and international markets.

Construction Equipment Localisation Challenges Remain

Despite progress in domestic manufacturing, the report highlights that localisation levels in India's construction equipment sector remain around 50%. The gap is particularly noticeable in high-value components such as hydraulics, electronic controls and undercarriages, which continue to be largely imported.

Increasing local manufacturing of these critical parts could enhance supply chain resilience and reduce import dependence. The report identifies localisation as one of the key areas requiring focused industry attention.

Read More: IMF Revises India's FY27 GDP Growth Forecast to 6.4%.

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Conclusion

The CII-BCG report points to significant growth opportunities for India's mining and construction ecosystem over the coming years. Capital expenditure across related sectors is projected to approach ₹10 trillion by 2030, driven by infrastructure investments and mineral development.

At the same time, the industry is navigating technological changes that are reshaping equipment design and operations. Addressing localisation gaps and adopting advanced technologies will remain important themes as the sector expands.

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