Residential construction in Jayanagar:Impact of Covid-19 on real estate and construction industry in India
Residential construction in Jayanagar
Eshas Group of companies the best residential construction in Jayanagar is a well-known for its project execution and completion within the time period.
We provide all sort of solution in the field of construction with experts including architects, interior designer, contractors, glass and aluminium fabrication,
roofing solutions etc. To know more you can visit our showroom but at the current situation, we suggest stay at home and let us contact you by phone or mail.
Covid-19 has created a sense of panic all over the world. People all over the world are scared of their impact.
The impact is not only regarding their health but also regarding the future economic condition.
Several industries are going to face critical issues due to the current situation. One of such industry is construction industry.
Construction industry can face lakhs or crores of loss due the current situation.
With situation being changing every hour, Honourable Prime Minister Mr. Narendra modi on 24-03-2020 has announced country lockdown to
minimise the effect of spreading the Pandemic coronavirus. We have already seen what this virus can do if neglected.
China with the largest human population and with the origin of this virus has already faced a worst condition ever.
Italy also has faced the same situation that their medical faculties were helpless in saving many of their lives.
India being the second highest populated country, with lesser medical facilities compared to China and Italy, the situation if not faced ideally the impact can be much worst.
However, India has somehow faced the 1st stage of virus in affecting way that has delayed the huge impact of virus spreading.
The impact of Coronavirus on the Indian real estate and construction industry (Residential construction in Jayanagar)
Impact on Stock market & Economy
Comparing to the economy, whole world share markets had huge impact. India's stock exchange is also dropping down to lowest records in stock markets.
With loss of tourism income, many travel operators, hotels as well as transportation may fall into bankruptcy.
India’s economy is already facing a critical situation that slowed to nearly seven-year low of 4.7% in October to December 2019.
As this continue and now facing the Pandemic Covid-19 can make more impact to the Indian economy.
China’s economy- the epic center of the Corona outbreak is now facing a weaker economic growth as the virus has hit both the export and production.
Indian Government has already readied financial packages for tackling the after effects of the pandemic virus however we are yet to know how it works and its impact.
The fall of Chinese money had increased opportunities for India market opportunity.
India’s rise due the China’s fall has raised India to the 7th spot among the markets as per reports conducted.
But globally when compared the novel corona virus not only led to fall of Chinese markets but also for other Asian economies too.
India is less integrated to Chinese supply chain compared to other countries.
But as the virus is spreading, the asset prices are crashing globally that can be anticipated to larger disruption.
This can affect the India’s economy that India’s economic position can shift sharply in future.
Exploitation of new market for India
Countries like Australia which is very much depended on Chinese products have suffered and given the time it is huge opportunity for a country like to
India to manufacture to step up from local production. For instance: Steel.
India is the second largest country for production of steel after China, this can be used an opportunity to increase the production and exporting of steels.
As the Chinese supply chain is disrupted India’s industry has the opportunity as most of the countries depended on China may explore other markets to procure the raw materials.
Thus, this could be an opportunity to production of more imported goods such as metal panels, steel bars, heavy machinery etc.
As well as, solar panel manufacturing companies can also benefit from increase production to bring down long-term cost.
Impact on real estate sector
The real estate sector is very different from the stock market.
It is much slower moving and leasing fundamentals do not fluctuate on regular basis.
At some point the total of aggregate market trends as a new benchmark price and that most certainly looks on the downward side right now.
The domestic demand of the residential building will be stay strong and the price reduction due to the pandemic Virus may lead to buy properties at lower value.
In coming months there will be lesser new project available, extended timelines walk-in enquires for real estate.
The design product suppliers may compensate for the loss of imported inventory but this will have supply chain losses and it will take many months to cover up.
There is a huge price change to be expected with the global assets price crash.
Residential construction in Jayanagar
There are many big questions on how India fare will be in upcoming day due the fight against virus.
As the whole waits, let us also wait and see what the outbreak will bring on the India’s economy. “Eshas Group” one of the best Residential construction in Jayanagar, our experts say that there is an uncertain future as well as we have come golden opportunities to be optimistic.
Indian real estate as well as allied manufacturing industries must feel positive in the present scenario and benefit by increasing your production.