Materially Speaking

WITH MULTIPLE DEMAND DRIVERS, THE INDIAN MARKET FOR MATERIAL HANDLING EQUIPMENT (MHE) HAS WITNESSED SIGNIFICANT GROWTH IN RECENT TIMES.

- Bindu Gopal Rao

INCREASED INFRASTRUCTURE INVESTMENT, emphasis on the manufacturing sector’s growth, introduction of automation in Material Handling Equipment (MHE) and adherence to safe practices in the country are fueling the MHE industry’s growth. The performance of corporates following successful stabilisation post GST implementation, coupled with the development of logistics’ organisations in the country, is all set to hasten the growth of the MHE industry further changing the dynamics of the business sooner rather than later.

DEMAND DRIVERS

In fact, material handling equipment forms one of the most important aspects of the manufacturing sector in India. Growing manufacturing industries such as chemicals, automotive, pharmaceuticals and food & beverages are spurring the demand for warehouses to store and manage their products. This increasing demand for automated storage, retrieval systems, along with industrial trucks in the manufacturing sector, shall be a key driver for this industry’s growth in the near future, due to the rising investments in installing the equipment at distribution centres as well as warehouses. Some of the factors which are responsible for this growth are the increasing investments in infrastructure development, growing penetration of advanced technologies, rising demand for increased automation, and safe working practices in the manufacturing space.