MHE and logistics experts agree that Indian MHE manufacturers can boost growth by focusing on R&D to integrate advanced technology and meet customer demands while keeping costs low. Key growth opportunities include infrastructure demand, tech adoption, and sustainability.

McKinsey’s report highlights the potential for automation to boost efficiency by up to 30 percent and cut costs by up to 50 percent in the construction sector. Drones are also gaining popularity for logistics management, with applications such as site surveys and inventory tracking that reduce the need for human intervention and ensure prompt delivery of materials.

Construction firms increasingly adopt eco-friendly logistics practices to prioritise sustainability and environmental responsibility. One such practice is adopting electric and hybrid vehicles to minimise carbon emissions. Our company has introduced an E-RTG Crane for steel handling in Visakhapatnam. According to Nitin Babbar, VP of Sales at KION India, the demand for automated MHE is increasing due to efficient supply chain management and e-commerce. Customers are also prioritising sustainability and energy efficiency. Additionally, using sensors and analytics tools for digitalisation improves equipment uptime and operational efficiency.

Technology impacts MHE and logistics in Indian construction.
Technology transforms how MHE and logistics are managed in India’s construction sector. Automated material handling systems, autonomous vehicles, and robotics are being used to improve efficiency, accuracy, and safety. Considering this, Neville Mevawala, Head- Sales & Marketing at Godrej Material Handling, says, “AI is optimising operations, predicting maintenance needs, and enhancing decision-making. The material handling division has recently partnered with tech giants to launch disruptive solutions to increase customer efficiency.” Nitin Babbar, Vice President of sales at KION India, added that advancements in technology are improving the performance and experience of MHE, reducing energy consumption and costs while improving operator comfort and safety.

Himanshu Aggarwal, Director of Tara Chand Logistic Solutions Ltd., mention changes in the logistics sector. He says “AI has become a crucial aspect of logistics management, especially in supply chain optimisation. By analysing large data sets, AI algorithms can recognise patterns and improve transportation routes, reducing costs and transit times.

Addressing challenges in MHE and logistics
The most significant challenges facing the MHE and logistics sectors in the Indian construction industry include inadequate infrastructure, lack of skilled labour, and rising equipment and fuel costs, highlights Mevawala. He adds that the companies address these challenges by adopting new technologies, investing in training and development, and partnerships with suppliers and customers.

Babbar emphasises the importance of skilled operators in the safe and efficient operation of MHE. He suggests comprehensive training programs covering MHE operation, maintenance, safety, and PPE use, with regular refresher training to keep workers updated with the latest practices.

In alignment with Babbar’s perspective, Aggarwal shares concerns regarding the shortage of skilled workers and drivers that could potentially limit the capacity and efficiency of the industry. To tackle this challenge, they established an Industrial Training Institute ten years ago to train machine operators and skilled workers in diverse fields.

Government policies and regulations on MHE and logistics in Indian construction
Governments can create a more business-friendly climate for MHE manufacturers by providing financial incentives, reducing regulatory burden, investing in infrastructure, promoting vocational education, and fostering international trade. According to Mevawala, these measures will enable MHE manufacturers to cut costs, boost efficiency, expand into new markets, and grow their customer base. Companies respond to these changes by investing in compliance, collaborating with government agencies and other stakeholders, and keeping themselves informed of the latest regulations and guidelines.

Babbar highlights India’s growth potential in indigenous manufacturing with Make in India initiatives. MHE companies can improve their manufacturing capabilities by focusing on research and development. Collaborating with local suppliers and exploring alternative manufacturing processes can reduce costs and enhance the quality of products.

Utilising data and analytics
Companies use data and analytics to optimise MHE and logistics operations in the Indian construction industry. They leverage data from telematics, IoT sensors, and other sources to improve asset utilisation, reduce downtime, and enhance decisionmaking. Benefits include increased efficiency, reduced costs, and improved safety.

Mevawala highlights that its appropriate implementation has allowed Godrej Material Handling to witness a 10 percent increase in user experience efficiency due to technological advancement.

The Indian construction industry increasingly relies on data-driven decision-making, especially in material handling equipment (MHE) and logistics operations. “This approach optimises supply chain processes such as inventory management, route optimisation, and equipment utilisation, resulting in cost savings and increased profitability”, says Agarwal. As the industry evolves, data-driven approaches will likely play a more significant role in MHE and logistics optimisation.

Here, Babbar underlines that collaboration with global technology companies can facilitate knowledge and resource sharing for new product development at a lower cost. Further, locally sourcing raw materials and establishing production facilities can reduce import costs and make products more affordable.

Mevawala believes companies must address this problem by funding employee training and certification programs. The industry must seek to create more effective, user-friendly machinery requiring less technical expertise. At the same time, Aggarwal stresses the need for digitisation and automation in the sector to improve efficiency and reduce costs. He believes the industry can overcome its obstacles by investing in new technologies, upskilling workers, and collaborating with the government to improve infrastructure.

Opportunities for growth in the MHE and logistics sector The biggest opportunities for growth in the MHE and logistics sector in the Indian construction industry include increasing demand for infrastructure, the adoption of new technologies, and the growing focus on sustainability. Mevawala is positive about growth. The project owners are positioning themselves to capitalise on these opportunities by investing in new technologies, expanding their services, and collaborating with other stakeholders.

The MHE and logistics industry in the Indian construction sector offers immense growth potential by utilising technology and providing tailored logistics services. The industry strives to utilise these opportunities to deliver innovative and effective logistics solutions to the construction sector. Additionally, with the Indian government’s emphasis on ‘Make in India’, there is expected to be a surge in demand for logistics and MHE services for domestic goods transportation.