India Biannual Construction Review 1Q/2Q 2023
Market survey results
Digital initiatives
In our survey, when asked about digital initiatives in their organisations, 65% of respondents use building information modelling (BIM), 57% have project dashboards, 30% have implemented automation and 23% have started to use reality capture.
Biggest threat to the Indian construction industry
When asked about the biggest threat to the Indian construction industry moving forward, most respondents to our survey ranked global economic slowdown as the primary risk, followed by investor confidence, material and labour cost escalation, delivery issues, material and labour availability and global political issues.
Sustainable initiatives
In our survey, 87% of respondents said their organisation was pursuing improving their sustainability credentials.
The majority were taking steps to reduce embodied and operational carbon. Although only 21% are using initiatives founded on the United Nations Sustainable Development Goals, 41% said they have begun implementing ESG reporting.
When asked if initiatives towards circularity had been implemented, only 32% of respondents said yes.
Circularity is reference to the principles of circular economy, which is an alternative to traditional linear economies which take resources, make things, consume them and throw them away.
The UN Environment Programme highlights that circularity and sustainable consumption and production are essential to deliver the UN Sustainable Development Goals, the Paris Agreement and the post-2020 global biodiversity framework.
The conservation and utilisation of existing materials in new products will not only prevent the extraction of raw materials, but also repurpose them in new products and prevent waste generation.
Tender opportunities
Construction space tenders are increasing annually across all divisions, representing the impetus shown by the government and private organisations to improve the flow of work orders.
Our survey revealed that 70% of respondents anticipated an increase in tender opportunities during 2023, in comparison to last year.
Survey respondents identified most tender opportunities for:
- Commercial offices, refurbishments and fit-outs (56%)
- Data centres (51%)
- Logistics and warehouses (39%)
- Residential (44%)
- Health and care (35%).
The aviation industry, in particular, is gaining momentum, following the recent announcement in the Union Budget of the construction of 50 new airports.
