According to a report by Crisil Ratings, PEB structures have become the preferred option for industrial and infrastructure buildings given the time and cost benefits they offer.
Various applications in sectors such as airports (hangars, terminal buildings), highways (toll plazas) and railways (yards, station parts), etc., will drive extensive demand for PEB structures as the increase in outlay is expected government infrastructure to support demand. .
Installation of these structures typically takes 40 to 50 percent less time compared to conventional structures, with significant cost savings due to reduced steel and labor requirements.
The report mentions that this is driving the demand for PEB structures, along with additional benefits such as modular design and high recyclability of the materials used.
According to Anand Kulkarni, director, CRISIL Ratings, industrial capex, which accounts for around 50 per cent of PEB demand, is expected to remain healthy over the next two fiscal years.
"Furthermore, increasing penetration of PEB due to cost benefits over traditional structures will also drive demand. Within the industrial sector, warehousing and logistics parks have emerged as the key segment," Kulkarni said, adding that the growth will be strong in the next two years. years, supported by electronic commerce and the consequent expansion of logistics players.
Revenue growth of PEB players is limited by optimal capacity utilization, hence the industry is witnessing capacity addition. The key industries driving the demand for PEB structures are industrial/manufacturing, infrastructure and real estate.
"Capacity utilization of PEB players remained healthy at over 70 per cent in FY2024, supported by strong demand," said Prateek Kasera, Team Leader, CRISIL Ratings.
To capitalize on demand, PEB players are incurring capital expenditure, with industry capacity expected to grow by 20 per cent by the end of the next fiscal year over FY2024.
Various applications in sectors such as airports (hangars, terminal buildings), highways (toll plazas) and railways (yards, station parts), etc., will drive extensive demand for PEB structures as the increase in outlay is expected government infrastructure to support demand. .
Installation of these structures typically takes 40 to 50 percent less time compared to conventional structures, with significant cost savings due to reduced steel and labor requirements.
The report mentions that this is driving the demand for PEB structures, along with additional benefits such as modular design and high recyclability of the materials used.
According to Anand Kulkarni, director, CRISIL Ratings, industrial capex, which accounts for around 50 per cent of PEB demand, is expected to remain healthy over the next two fiscal years.
"Furthermore, increasing penetration of PEB due to cost benefits over traditional structures will also drive demand. Within the industrial sector, warehousing and logistics parks have emerged as the key segment," Kulkarni said, adding that the growth will be strong in the next two years. years, supported by electronic commerce and the consequent expansion of logistics players.
Revenue growth of PEB players is limited by optimal capacity utilization, hence the industry is witnessing capacity addition. The key industries driving the demand for PEB structures are industrial/manufacturing, infrastructure and real estate.
"Capacity utilization of PEB players remained healthy at over 70 per cent in FY2024, supported by strong demand," said Prateek Kasera, Team Leader, CRISIL Ratings.
To capitalize on demand, PEB players are incurring capital expenditure, with industry capacity expected to grow by 20 per cent by the end of the next fiscal year over FY2024.
