The infrastructure sector saw some improving trends towards the close of last financial year.
In an interview to CNBC-TV18, Vinayak Chatterjee, Chairman of Feedback Infrastructure and Rohan Suryavanshi, Head, Strategy & Planning at Dilip Buildcon spoke about the bold reforms in infrastructure space and the key projects revived.
“FY18 will still be a public expenditure driven construction positive environment,” said Chatterjee.
Urban infrastructure across Indian towns and cities are also helping to bolster order books, he said.
Chatterjee believes that order book of engineering, procurement and construction (EPC) companies are driven by public expenditure.
Capacity utilisation of the industry is hovering around 70-75 percent currently, he added.
He further believes that in the course of this fiscal, industrials like cement, steel, construction equipment and construction related supplies will be hitting capacity utilisation of around 80-85 percent.
In terms of the order inflow, Rohan Suryavanshi of Dilip Buildcon sees huge improvement in road orders in the next few years.
“We are expecting around Rs 8,000 crore of new orders spread across roads, mining, urban infrastructure that we have been doing in the last 2-3 years,” said Suryavanshi.
On goods and services tax (GST), he believes there is still a lot of confusion about its impact.
For full discussion, watch accompanying video...
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