India Construction Market is Expected to Reach USD 2.13 Trillion by 2030

Government-led initiatives aimed at advancing infrastructure is driving the India construction market growth during the forecast period

The India Construction Market size was valued at USD 1.04 trillion in 2024, and is projected to grow to USD 1.21 trillion by 2025. Additionally, the industry is expected to continue its growth trajectory, reaching USD 2.13 trillion by 2030, with a CAGR of 12.1% from 2025 to 2030, according to new research by Next Move Strategy Consulting.

India’s construction sector is experiencing strong expansion, driven by large-scale government initiatives focused on infrastructure development and urban modernization. The National Investment Pipeline (NIP), extended through 2030, allocates substantial funding to critical sectors such as renewable energy, roads and highways, urban infrastructure, and railways. 

Notable projects include the Mumbai–Ahmedabad High-Speed Rail, advancing with Japanese support and scheduled for completion by 2028, and the Chennai–Bengaluru Expressway, targeted for completion by 2025. The 2024 Union Budget further strengthens this momentum by significantly increasing infrastructure investment. These combined efforts accelerate market growth, driven by rapid urbanization and rising population demand.

However, regulatory complexities remain a major barrier to market development. Infrastructure projects encounter delays due to a dense web of government regulations and permitting processes. These initiatives require multiple approvals across local, regional, and national levels, covering zoning compliance, environmental assessments, building codes, safety standards, and other regulatory mandates. 

Lengthy permit acquisition, bureaucratic inefficiencies, and inconsistent regulations across jurisdictions extend project timelines and raise costs. Sudden regulatory changes or policy shifts disrupt project execution and undermine investor confidence.

On the other hand, the construction industry is undergoing a profound digital transformation, led by the expanded use of Building Information Modeling (BIM), which is creating new avenues for growth. BIM supports advanced digital design, simulation, and infrastructure management, increasing precision, collaboration, and resource efficiency. 

Reflecting this shift, ALLPLAN launched Allplan 2024-1 in April 2024 to enhance BIM capabilities and streamline cloud-based workflows, underscoring the industry’s move toward fully digital project execution. The integration of AI, IoT, and cloud technologies strengthens real-time communication, predictive maintenance, and efficient facility operations.

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Several market players operating in the India construction industry include Larsen & Toubro Limited, Tata Projects Limited, Reliance Infrastructure Limited, Shapoorji Pallonji Engineering & Construction, Hindustan Construction Company Limited, GMR Group, Afcons Infrastructure Limited, NCC Limited, Gammon India Ltd, Simplex Infrastructures Ltd, Mahindra Lifespace Developers Ltd, Man Infra Construction Limited, Adani Group, Sunteck Realty, PSP Projects Limited, and others.

Key Insights from the India Construction Market Report:

• The information related to key drivers, restraints, and opportunities and their impact on the India construction market trends is provided in the report.

• The value chain analysis in the market study provides a clear picture of the roles of each stakeholder.

• The report provides the India construction market share of key players, along with a detailed competitive analysis.