As India accelerates toward high-rise urbanisation, smart cities, and infrastructure-led growth, vertical mobility has shifted decisively from the periphery to the core of the national development agenda. Reinforcing this transition, the Union Budget 2026 elevates capital goods, construction equipment, and advanced manufacturing as integral pillars of infrastructure expansion.
Against this backdrop, Anitha Raghunath, Co-Founder and Director, Virgo Communications & Exhibitions – Smart Lift & Mobility World 2026, in an interaction with The Interview World offers a sharp assessment of what the Budget signals for the elevator and escalator industry. She examines the scale, structure, and momentum of India’s vertical mobility market, while unpacking how technology adoption, policy direction, and collaborative industry platforms are redefining the sector’s growth trajectory.
Crucially, she explains why elevators are no longer viewed as auxiliary building components but as essential infrastructure assets, and how India is positioning itself as a global hub for smart, safe, and sustainable people-movement solutions.
Q: How does the Union Budget 2026 articulate the government’s infrastructure agenda, and what does it imply for growth and investment in the vertical mobility sector?
A: The Union Budget 2026 sends a clear and timely signal to India’s infrastructure, real estate, and capital goods ecosystem, one with direct and far-reaching implications for the elevator and vertical mobility industry. By prioritising the strengthening of domestic capital goods capabilities, the Budget addresses long-standing gaps in manufacturing scale, precision engineering, and technological depth.
More importantly, these measures enable the local design, testing, and mass manufacture of high-precision components. As a result, the industry can expect lower costs, improved quality, and faster localisation across critical systems, including drives, controllers, doors, and safety mechanisms.
In parallel, the establishment of high-technology toolrooms through central public sector enterprises, coupled with the launch of the Scheme for Enhancement of Construction and Infrastructure Equipment (CIE), represents a decisive policy intervention. By explicitly recognising construction and infrastructure equipment, ranging from lifts and firefighting systems to tunnel-boring machines, the Budget firmly positions vertical mobility within India’s core infrastructure framework.
Q: What role does the elevator and escalator industry play in India’s economy today, and what are the current market size and growth prospects of the Indian vertical transportation sector?
A: The vertical mobility industry underpins construction and real estate—sectors that together account for nearly 16% of India’s GDP. As urbanisation accelerates and cities grow upward, elevators have evolved from auxiliary building services into essential urban infrastructure.
Moreover, as India’s urban population moves toward nearly 60 crore in the coming decades, demand for safe, efficient, and intelligent people-movement systems will intensify across housing, metro networks, commercial developments, and public buildings. Vertical mobility, therefore, sits at the intersection of urban liveability and infrastructure resilience.
Reflecting this momentum, India has emerged as the world’s second-largest elevator and escalator market. Currently valued at approximately USD 15 billion, the market is projected to expand to USD 22–23 billion by 2033, driven by sustained urbanisation, robust construction activity, and rising demand for smart, energy-efficient solutions.
At the same time, Tier II and Tier III cities are recording 10–15% growth in vertical development, supported by rising housing demand, commercial expansion, and continued investment in urban infrastructure.
Q: How is the Budget aligned with India’s broader national initiatives?
A: The Budget’s emphasis on domestic manufacturing and capital goods aligns squarely with the objectives of Make in India, Atmanirbhar Bharat, and India’s net-zero commitments. At the same time, it strengthens employment generation and deepens MSME participation across the vertical mobility value chain.
Moreover, sustained capital expenditure on urban transport systems, metro networks, airports, high-rise developments, and public infrastructure provides a stable, long-term demand base for elevators, escalators, and allied people-movement solutions.
Q: What technological shifts are reshaping the vertical mobility industry, and what policy enablers are required to enhance innovation and competitiveness?
A: The sector now sits squarely at the convergence of intelligent building design, digital infrastructure, and urban mobility. Consequently, demand is rising for AI- and IoT-enabled smart lifts, predictive maintenance platforms, energy-efficient technologies, and advanced safety systems.
To accelerate this transition, the industry is seeking targeted incentives for technology adoption, rationalisation of duties, and easier access to finance, particularly for MSMEs, so it can scale smart, safe, and sustainable vertical mobility solutions.
Q: What role do platforms like Smart Lift & Mobility World 2026 play in shaping industry dialogue, policy alignment, and future-ready innovation?
A: Such platforms function as critical convergence hubs, bringing together policymakers, manufacturers, suppliers, developers, consultants, and safety experts. In doing so, they catalyse innovation, advance leadership dialogue, elevate safety standards, and accelerate the adoption of future-ready mobility solutions.
Moreover, initiatives such as the Smart Lift & Mobility Awards and the world’s first Elevator Safety Run reinforce the sector’s commitment to quality, safety excellence, and public awareness.
Q: What is the current elevator demand landscape in India, and how do investors and developers view the category today?
A: Elevators account for nearly 97% of all vertical mobility installations, underscoring their central role in the built environment. Residential real estate drives approximately 65–70% of demand, followed by commercial developments at around 25%, with the balance arising from infrastructure projects such as airports, metro stations, hospitals, and public buildings.
Consequently, the industry no longer views elevators merely as transport equipment. Instead, it recognises them as critical infrastructure assets that shape building efficiency, sustainability, accessibility, and long-term asset value.
Q: What clear signals and actionable roadmap does the Union Budget 2026–27 provide for the industry?
A: Viewed alongside the Economic Survey’s focus on smarter, more liveable cities, the Budget delivers a clear roadmap. It strengthens domestic manufacturing, promotes advanced construction equipment, and sustains long-term infrastructure investment.
In the coming years, success will depend on how effectively industry and policymakers collaborate to translate this vision into scalable, technology-driven, and sustainable urban growth. Done right, it will position India as a global hub for smart vertical mobility.
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