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2 September 2026

Construction and Infrastructure Equipment (CIE) scheme

The CIE scheme is a specific, major national policy intervention aimed at boosting domestic manufacturing and infrastructure development, making it highly relevant for questions on industrial growth and government policy.

1 min read 2 questions 1 prelims

Notes

  • The Construction and Infrastructure Equipment (CIE) scheme was announced in the Union Budget 2026-27.
  • Primary objectives: Boost local manufacturing, strengthen domestic supply chains, and reduce import dependence.
  • Budgetary allocation: Initial announcement of ₹200 crore; reports suggest a potential expansion to ₹11,500 crore over seven years.
  • Focus area: Encouraging participation of Micro, Small and Medium Enterprises (MSMEs) in the construction equipment value chain.
  • Market status: India is the world's third-largest construction equipment market, following China and the U.S.
  • Industry size: Valued at approximately ₹97,500 crore in 2024-25, projected to reach ₹2.28 lakh crore by 2029-30.
  • Employment impact: The sector currently provides direct employment to about 10 lakh people.

Questions

  1. Discuss the significance of the Construction and Infrastructure Equipment (CIE) sector in achieving the goal of 'Make in India' and its potential impact on domestic employment generation. 150 words
    Attempt this — 150 words in 8 min
    0 / 150 words 8:00
  2. The growth of the construction equipment industry is a critical indicator of national infrastructure development. Analyze the challenges in reducing import dependence in this sector and evaluate how targeted government schemes can integrate MSMEs into the global value chain. 250 words
    Attempt this — 250 words in 11 min
    0 / 250 words 11:00

Prelims

  1. Which of the following statements regarding the Construction and Infrastructure Equipment (CIE) sector in India is correct?