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India Roads and Highways

India’s 2021-2022 budget allocated billions for infrastructure and billions to state & autonomous bodies for capital expenditures. 

Under the Union Budget, key infrastructure projects under India’s newly announced National Asset Monetization Program include a wide variety of initiatives in the transportation infrastructure. Below are key programs in roads and highways sector that may be of interest to U.S. exporters:

Road and Highways
Under the Union Budget, the GOI has allocated US$ 17.7 billion for roads and highways, and US$ 2.7 billion for the public transportation development. Approximately 8,500 km of roads and highways development are being planned, with tenders to be awarded by March 2022 under Bharatmala project. The GOI also initiated a series of road infrastructure projects, some of which are listed below:
• A total of 3,500 km of National Highway work in the state of Tamil Nadu with an investment of US$ 15.4 billion. These include the Madurai– Kollam Corridor and Chittoor–Thatchur Corridor. Construction is planned to start in 2022.
• A total of 1,100km of National Highway work in State of Kerala with an investment of US$9.7 billion. This includes a 600km section of Mumbai–Kanya kumari Corridor in Kerala.
• A total of 675km of highway work in the state of West Bengal at a cost of US$ 3.7 billion, including upgrades of the existing Kolkata —Siliguri road.
• National Highway work of approximately US$ 2.8 billion is currently in progress in Assam. Further construction works of US$ 5.1 billion covering more than 1,300km of National Highways will be undertaken in Assam in the coming three years.

Major Expressways/Corridors
• The Delhi– Mumbai Expressway: A tender for the remaining 260km will be awarded before May 31,2021.
• Bengaluru – Chennai Expressway: A tender for 278km will be initiated in the current fiscal year. Construction will begin in 2021–22.
• Delhi – Dehradun Economic Corridor: The 210km corridor will be initiated in the current fiscal year. Construction will begin in 2021–22.
• Kanpur–Lucknow Expressway: This is a 63km expressway providing an alternate route to NH 27, and it will be initiated in 2021–22.
• Chennai – Salem Corridor: This 277km expressway will be awarded this fiscal year. Construction is projected to start in 2021–22.
• Raipur– Vishakhapatnam: This project, for a 464km road passing through Chhattisgarh, Odisha, and Northern Andhra Pradesh, will be awarded in 2021. Construction will start in 2021–22.
• Amritsar– Jamnagar: Construction will commence in 2021–22.
• Delhi-Katra: Construction will commence in 2021-22.

Advanced Traffic Management System with speed radar, variable message signboards, and GPS enabled recovery vans, will be installed in all new four and six lane highways in India, which presents an additional opportunity for U.S. exporters.

For more information on opportunities in the above sectors please contact your local U.S. Export Assistance Center or send an e-mail to geoffrey.parish@trade.gov or ritu.arora@trade.gov

03/16/2021