Roads and Highways

  • India has the second-largest road network in the world at about 63.73 lakh km.*
  • The National Highways/ Expressways measure 1,36,440 km and State Highways measure 1,76,818 km and Other Roads measure 59,02,539 km in FY 2020-21. 
  • Ministry of Roads and Highways constructed 34 Km of National Highways per day in 2020-21.
  • India have a world record of making 38 KMs per day his target is going upto more than 100 KMs per day. *
  • The implementation agencies of the Ministry of Road Transport and Highways include: *
    • National Highways Authority of India
    • State/Union Territories Public Works Departments
    • National Highway and Infrastructure Development Corporation Limited
    • Border Roads Organization
    • Indian Academy of Highway Engineers (IAHE)
  • Historically, the government has been the primary stakeholder in investments in the transport sector. However, to boost private sector participation, the Ministry of Road Transport and Highways has laid down comprehensive policy guidelines for private companies to participate in the development of National Highways. *
Reasons to Invest
  • The Government offers various incentives to attract Private Investment and Foreign Direct Investment in the roads and highways sector. The Government bears the following costs: *
    • Duty-free import of high capacity and modern road construction equipment
    • 100% tax exemption in any consecutive 10 years out of 20 years after commissioning of the project
    • Subsidy up to 40 % of the project cost to make project viable
    • Environment clearance, cutting of trees, etc.
    • Shifting of utilities
    • Land for the right of way and wayside amenities
    • Project Feasibility Study
  • Out of the total outlay for NIP, approximately USD 280 Bn is being spent on the roads and highways sector.  
  • Setu Bharatam: The Ministry of Road Transport and Highways has envisaged a plan for replacement of Level Crossings on National Highways by ROBs/ RUBs under a scheme, Setu Bharatam. *
  • The government has taken many e-initiatives such as Bhoomi Rashi Portal, Enterprise Resource Planning (ERP) Project-eDISHA, E-tolling to simplify the processes in the roads and highways sector and bring transparency to it. *
  • The State of Uttar Pradesh has sanctioned 1,255 Km road length for construction using Full Depth Reclamation Technology, which will not only save cost and time in a big way, but also conserve natural resources and reduce carbon footprint. *
  • Development work of 6-Lane access-controlled Spur to Haridwar from Delhi – Saharanpur – Dehradun Economic corridor on Hybrid Annuity Mode under INR 2095.21 Crores in  Uttar Pradesh and Uttarakhand. *
  • GOI has sanctioned Widening and strengthening work of NH-334A (Purkaji – Laksar – Haridwar Road) to two-lane with paved shoulder under EPC (Engineering Procurement Construction) mode with a budget of INR 227.06 Crores in Uttar Pradesh and NH-330D (Sitapur to Kurain Section) to two-lane with paved shoulder under EPC mode with a budget of INR 505 Crores. *
  • Foundation Stone for 25 National Highway Projects of total Length 257 Km has been laid with an Investment of INR 11,721 Crores in Jammu to provide all-weather connectivity between Jammu and Kashmir valley. *
  • Ministry plans to take up about 131 new National Highway projects at an approximate estimated cost of about 84,193 crore, in the North-Eastern States, within the next three years, under the National Infrastructure Pipeline. *
  • The market for roads and highways in India is projected to exhibit a CAGR of 36.16% during 2016-2025, on account of growing government initiatives to improve transportation infrastructure in the country. For the period of 2016-17 to 2021-22, the CAGR stands at 20%.*

Explore more about infrastructure availability in Roads and Highways sector 

Key Achievements
  • World's first 200 mtr long Bamboo Crash Barrier “Bahu Balli” installed on the Vani-Warora Highway in Vidarbh, Maharashtra. *
  • Bengaluru - Mysuru expressway significant to contribute to Karnataka's growth with development of 4 rail overbridges, 9 significant bridges, 40 minor bridges, and 89 underpasses and overpasses. *
  • Completion of 51km Yangte - Tali road connects Tali in Arunachal Pradesh by road to rest of India for the first time. *
  • NHs length of about 1,41,190 km has been GIS mapped on the PM Gati Shakti NMP Portal.*
  • In the last 7 years, length of NHs has gone up by more than 50% from 91,287 km (as on April 2014) to around 1,41,000 km in 2021. *
  • India Book of Records have awarded certificates in respect of creation of record for Highest Quantity of Bituminous Mix laid for road construction in 100 Hrs to PNC Infratech Ltd. *
  • 14.5 km long Rail-cum-Road-bridge over Ganga River approach project on NH 333B in Munger, Bihar is inaugurated at a cost of INR 696 crore with the aim to connect every city, every village of Bihar. *
  • 16 National highways projects worth INR 2,460 crore in Jalgaon, Maharashtra are inaugurated to enhance road connectivity for the transportation and milling of agricultural commodities in Jalgaon district. *
  • 2 National highways projects worth INR 1,791.46 crore in Dhule, Maharashtra are inaugurated to give impetus to the economic development of  Dhule and Nandurbar districts as well as provide new employment opportunities in the region. *
  • Delhi-Chandigarh highway is the 1st highway in the country which has been made e-vehicle friendly with successful commissioning of 20 Nos. Solar Based EV Chargers by BHEL. *
  • 15 National Highway projects in Bihar with a total cost of INR 13,585 crore are inaugurated. The time taken to cross Mahatma Gandhi Setu has now been reduced from 2 to 3 hours to 5 to 10 minutes, thus helping the city to get rid of traffic.*
  • New Guinness World Record created by NHAI in laying 75 km of bituminous concrete in a single lane on NH53 in 105 hours and 33 minutes.*
  • The project for the construction & maintenance of a Cable Stayed Bridge across River Chambal on Kota Bypass on NH-76 of East-West Corridor in Rajasthan is completed.*
  • The first six lane highway road is made by using Steel Slag at Surat, Gujrat to connect the port with the city. *
  • The main tunnel and five underpasses of Pragati Maidan Integrated Transit Corridor Project in New Delhi has been developed to transform Pragati Maidan according to the needs of the 21st Century.*
  • World record in Nagpur by constructing the longest Double Decker Viaduct (3.14 KM) with Highway Flyover & Metro Rail Supported on single column piers.*
  • Shri Nitin Gadkari inaugurates and lays foundation stone of six NH projects worth INR 2300 crore in Indore, Madhya Pradesh.*
Recent Announcements

20th March 2023: India and the World Bank have signed a loan agreement for the construction of the Green National Highway Corridors Project in four States of 781 kms USD 500 mn.

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20th March 2023: NH-344M (Pkg 1-3) will serve as an additional western ring road in Delhi: Sh. Nitin Gadkari

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16th March 2023: NHAI initiates trial use of steel slag in road construction.

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14th March 2023: Shri Nitin Gadkari inaugurates and lays foundation stone of 18 National Highway projects with an investment of more than INR 10,000 crore in Gorakhpur, Uttar Pradesh

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14th March 2023: Shri Nitin Gadkari inaugurates and lays foundation stones of 9 National Highway projects in Mahoba, Uttar Pradesh worth INR 3,500 crore

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  • Average annual construction (average annual construction length) during FY2015 to FY2021 has increased by 83% compared to FY2010 to FY2014.
  • The cumulative cost of ongoing project works has increased by 54% at the end of Financial Year 2021 compared to Financial Year 2020 (as on March 31st).
  • The Nag River revitalization project-Nagpur worth INR 2,117-crore will begin and is aimed to complete in 8 years. *
  • Annual budgetary plan for development works to be carried out in Goa by Union Road Transport Ministry has been increased from INR 2,000 crore to INR 5,000 crore. *
  • Two Highway Projects worth INR 2,334 Cr in Sangli, Maharashtra are inaugurated. The total length of two section of Highway Projects is 96.78 Kilometers. *
  • Total length of National Highways in the Country as of July 2022 is about 1,41,720 km.*
  • National Highways had increased from 91,000 km in 2008 to 1,41,000 km, and the pace of construction had improved from 12 km a day to 37 km in 2022.*
Growth Drivers
  • 4-lane National Highway (NH) has been developed at a total cost of INR 571 cr to connect ICTT (International Container Transhipment Terminal) Vallarpadam with Kalamassery in Kerala. *
  • 70 projects underway, totaling 2,014 kms and costing INR 33,540 cr are currently in progress in Andhra Pradesh. *
  • Works costing INR 15,400 cr have been awarded for a length of 777 kms across 27 projects. Two Multimodal Logistics Parks (MMLPs) have been sanctioned in Visakhapatnam and Anantapur at a cost of INR 1,797 cr. These MMLPs will serve as a key hub for centralizing freight cargo consolidation in the region. *
  • Shri Nitin Gadkari inaugurates 18 National Highway projects with a total length of 550 km in Orchha, Madhya Pradesh worth INR 6800 crore. *
  • Tripartite MoU signed for swift development of modern Multi Modal Logistics Park (MMLP) under Bharatmala Pariyojna.*
  • Gujarat, Andhra Pradesh, Uttar Pradesh, J&K and Arunachal Pradesh are following the provision of the Motor Vehicle Act and will ensure the appropriate electronic enforcement devices on National Highways at high risk and high density corridors.* 
  • Provision of Advanced Traffic Management System (ATMS) is envisaged in high traffic density corridors which may help in speedy identification of incidents on the highway stretches and thereby improving the response time of the on-site assistance.*
  • A 16-lane access-controlled highway with provision of minimum 3-lane service road on both sides, the Expressway connecting Dwarka in Delhi to Gurugram in Haryana is being developed at a total cost of INR 9,000 Crore with total length of 29 km out of which 19 km length falls in Haryana while the remaining 10 km of length is in Delhi.*
  • Construction of Greenfield connectivity to Jewar International Airport (connecting Delhi Mumbai Expressway) from DND Faridabad - Ballabhag Bypass KMP link in Gautam Budh Nagar district under Bharatmala project in the state of Uttar Pradesh and Haryana with a budget of INR 2,414.67 crore has been approved.*
  • Almost 8,400 state-of-the-art greenfield expressways are being built as part of Bharat Mala Pariyojana. These corridors will change the face of National Highways infrastructure and also supercharge the economy to a 5 trillion-dollar economy.
  • Multi Modal Logistics Parks to be set up at 35 prime strategic locations, at a total capital cost of INR 50,000 crore, will enable Seamless Freight Movement across Multiple Modes.*
  • 50 – 70 Vehicle Scrapping Facilities and 75 Automated Testing Stations to be set up across the country in next 5 years. *
  • An MoU was signed today between MD, NHIDCL and Director, IIT, Roorkee for sharing knowledge on innovative ideas and technologies in the field of highway engineering. *
  • 9 NH projects of 243 km length worth INR 1357 Crore in Rajasthan are inaugurated. *
  • 4-lane flyover in Suratgarh city will ensure safe and congestion-free traffic. Other projects will facilitate connectivity between tourist destinations of Gujarat and Rajasthan.*
  • Bundelkhand Expressway of 296 Km four-lane has been constructed at a cost of around INR 14,850 crores to give a major boost to connectivity and industrial development in UP.*
  • Ministry has set a target of constructing 12,200 km National Highways during 2022-23, against which 4766 km has been constructed till November 2022.*
FDI Policy
  • 100% Foreign Direct Investment (FDI) is allowed under the automatic route in the road and highways sector, subject to applicable laws and regulation. *


Read more about Foreign Direct Investment Policy in India >

Sector Policy
  • The Ministry of Road Transport and Highways (MoRTH) has issued a draft notification G.S.R 815(E) to supersede the All India Tourist Vehicle (Authorisation or Permit) Rules, 2021. The key features of the proposed rules are as follows*:
    • To simplify the procedure for All India Permit applicants and to reduce compliance burden, the provision of authorization and All India Tourist Permit has been made independent of each other.
    • More categories of tourist vehicles, with lesser permit fees for lesser capacity vehicles (less than ten) have been proposed. This is expected to provide considerable financial relief to smaller tourist operators having smaller vehicles with lower seating capacity as they will now be required to pay lower fees commensurate with the seating capacity of their vehicle(s).
    • To promote deployment of electric vehicles in large numbers a streamlined regulatory ecosystem at no cost to the operator(s) has been proposed.
  • Ministry of Road Transport and Highways has issued a draft  notification pertaining to Motor Vehicles (Registration and Functions of Vehicle Scrapping Facility Amendment) Rules, 2022. Processes have been made time bound to ensure ease of doing business.
  • Development and maintenance of road infrastructure is a key Government priority, the sector has received strong budgetary support over the years.
  • Standardised processes for PPP and public funded projects and a clear policy framework relating to bidding and tolling have been developed over the years.
  • Major policy initiatives undertaken by the Ministry of Road Transport and Highways (MoRTH) are: *
    • Provision of funds to the State Government for development of state roads as per the Central Road Fund Act 2000, amended by Finance Act from time to time.
    • Introduction of Electronic Toll Collection System, FASTag by MoRTH. 
    • Implementation of Value Engineering Programme in 2017 to promote use of new technologies, materials and equipment in highway projects executed either under PPP or public funding mode.
    • Automation of Regional Transport Offices under Transportation Mission Mode Project. It envisages creation of a consolidated transport database. The two flagship applications under the project are VAHAN (Vehicle Registration, Taxation, Permit, Fitness and associated services) and SARATHI (Driving License, Learner License, Driving Schools and related activities).
    • To fast track approval process, enhanced powers to NHAI, specifically for EPC (Engineering, Procurement and Construction) and PPP (Build-Operate-Transfer) projects where no Viability Gap Funding is involved.
    • Project Monitoring Information System introduced by NHAI for tracking the status of all projects, preparation of reports and online upload of important project documents like DPRs and contract documents, etc.
  • Motor Vehicle Aggregator Guidelines issued the Ministry of Road Transport and Highways to regulate shared mobility and reducing traffic congestion and pollution. 


Bharatmala Pariyojana Scheme *

  • The Bharatmala Pariyojana is the country’s largest ever highways development programme. It aims to optimize the efficiency of road traffic movement across the country by bridging critical infrastructure gaps. Multi-nodal integration is one of the key focuses of this programme. 
  • Components under Bharatmala Phase 1 are: 
    • Economic Corridors Development: Length - 9,000 km Investment Outlay: INR 1.2 lakh cr
    • Inter-corridor and feeder roads - Length: 6,000 km Investment Outlay: INR 80,000 cr
    • National Corridors Efficiency Improvements Length - 5,000 km Investment Outlay: INR 1 lakh cr
    • Border and International Connectivity Roads: Length - 2,000 km Investment Outlay: INR 25,000 cr
    • Coastal and Port Connectivity Roads Length - 2,000 km Investment Outlay: INR 20,000 cr
    • Expressways Length - 800 km Investment Outlay - INR 40,000 cr
    • It is estimated that more than 35 cr man-days of employment shall be generated under Phase-I of the programme
  • Integration of Multi transport mode has also been built into the Bharatmala Programme and includes the development of 35 Multi-modal Logistics Parks (MMLPs) at various locations across the country. These MMLPs are being developed on a 'Hub and Spoke' model and being implemented by NHAI and NHIDCL (in North-East India)
  • Projects comprising length of 19,265 km have been awarded with cost of INR 5,60,216 crore, under the Bharatmala Pariyojana Phase-I. Till now, length of about 6,750 km has been completed.
  • Projects comprising length of 612 km with cost of INR 13,720 crore have been awarded in the State of Bihar, under the Bharatmala Pariyojana Phase-I.
  • The Government has set a target of 12,000 km of National Highway for construction during the current financial year 2021-22 against which 5,118 Km has been constructed as on 30th November 2021.
  • Almost 8,400 state-of-the-art greenfield expressways being built as part of Bharatmala Pariyojana.
  • An investment of INR 11 - 12 lakh crore is being planned under the Bharatmala programme as investment in logistics sector has a large multiplier effect on the overall economy.

National Ropeways Development Programme *

  • “Parvatmala” will be taken up on PPP mode, which will be a preferred ecologically sustainable alternative in place of conventional roads in difficult hilly areas, will improve connectivity and convenience for commuters, and promote tourism.
  • This may also cover congested urban areas, where conventional mass transit system is not feasible.
  • Contracts for 8 ropeway projects for a length of 60 km would be awarded in 2022-23.
  • The scheme is being presently started in regions like Uttarakhand, Himachal Pradesh, Manipur, Jammu & Kashmir and the other North Eastern states.

New Car Assessment Program*

  • Shri Nitin Gadkari has approved the Draft GSR Notification to introduce Bharat NCAP (New Car Assessment Program), wherein automobiles in India shall be accorded Star Ratings based upon their performance in Crash Tests.
  • Star Rating of Indian Cars based on Crash Tests is extremely crucial to ensure structural and passenger safety in cars and increase the export-worthiness of Indian automobiles. The testing protocol of Bharat NCAP shall be aligned with Global Crash Test Protocols factoring in the existing Indian regulations, allowing OEMs to get their vehicles tested at India’s own in-house testing facilities.
  • The program will encourage manufacturers to provide advanced safety technologies to earn higher ratings.

Explore Government policies/ schemes in Roads and Highways sector >

Financial Support

Union Budget 2022-23

  • The total budgetary allocation for FY 2022-23 towards the Ministry of Road Transport and Highways is INR 1,99,107.71 cr.

Pradhan Mantri Gram Sadak Yojana

The Government of India launched the Pradhan Mantri Gram Sadak Yojana (PMGSY) with an aim to provide connectivity to unconnected habitations as part of a poverty reduction strategy. *

About USD 2.6 Bn has been allocated to Pradhan Mantri Gram Sadak Yojna in the Union Budget 2020-21. *

Investment Opportunities

The investment opportunities in the sector include:

  • Vadodara-Mumbai Expressway: A road length of 352 km through Kim, Talasari, Vasai and Thane to be developed. Work has already been awarded for a stretch of 124 km for Vadodara-Kim sector and bids invited for 228 km between Kim and Virar. *
  • Bharatmala Pariyojna: Road projects of length 9674 km have already been awarded while the bidding is open for projects with a length of 3555 km. *
  • Toll-Operate-Transfer Model: The Ministry is raising funds by monetizing road assets constructed using public funds by way of the Toll-Operate-Transfer (ToT) scheme. Under the scheme, bidding of bundled national highways for a concession period of 30 years. *


Explore projects to invest in Roads and Highways sector >

Sector Reports
  1. Annual Report 2021-22: Ministry of Road Transport and Highways
Foreign Investors
  • CIDBI Malaysia (Malaysia)
  • ERA-SIBMOST (Russia)
  • Essel Infra & CR-18 Consortium (China)
  • Gamuda Malaysia 0 WCT Malaysia (Malaysia)
  • GMR-Tuni-Ankapalli Express Ltd (Malaysia)
  • Hindustan Construction Company Ltd-Laing Sadbhav Consortium (UK)
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  3. PIB Release,
  4. Annual Report 2019-20, Ministry of Road Transport and Highways,
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  7. Ministry of Road Transport and Highways,
  8. National Infrastructure Pipeline, Report of the Task Force, Department of Economic Affairs Ministry of Finance,
  9. Annual Report 2019-20, Ministry of Road Transport and Highways,
  10. Setu Bharatam, Ministry of Road Transport and Highways,
  11. Consolidated FDI Policy,
  12. Pradhan Mantri Gram Sadak Yojana, Online Management, Monitoring and Accounting System (OMMAS),
  13. Expenditure Profile (Centrally Sponsored Schemes), India Budget website,
  14. Expenditure Profile (Expenditure of Ministries and Departments), India Budget website,
  15. Expenditure Profile (Expenditure of Ministries and Departments), India Budget website,
  16. Expenditure Profile (Central Sector Schemes), India Budget website,
  17. Annual Report 2019-20, Ministry of Road Transport and Highways,
  18. Annual Report 2019-20, Ministry of Road Transport and Highways,
  19. Annual Report 2019-20, Ministry of Road Transport and Highways,
  20. Annual Report 2019-20, Ministry of Road Transport and Highways,
  21. Monthly Report, Ministry of Road Transport and Highways,
  22. PIB Release,
  23. PIB Release,
  24. Monthly Report, Ministry of Road Transport and Highways, 20 October,2020)_0001%20(1).pdf
  25. Monthly Report, Ministry of Road Transport and Highways,
  26. PIB Release,
  27. Annual Report,

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