‘Govt’s infra push presents tremendous opportunity’: Egis India MD

Egis India, the local subsidiary of leading global consulting, construction and engineering firm headquartered in France, is aggressively expanding its presence in the region. With the government focusing heavily on infrastructure building, Sandeep Gulati - Managing Director of Egis in India and South Asia - is more optimistic than ever about the firm’s prospects. Gulati, who is heading the firm for the last five years, shares his plans with Business Today in a candid chat. Edited excerpts:

BT: How has the business performed post-COVID, especially in 2023?

Sandeep Gulati: In India, our commitment persists in consolidating our leadership in the Rail, Water, and Road sectors while venturing into burgeoning domains like Tourism and Sports. Recent collaborations, such as partnering with the Mizoram Tourism Development Authority for our project management consultancy services, mark our entry into the tourism sector.

Similarly, our involvement in the Birsa Munda International Stadium in Rourkela, Odisha, notably as programme management consultant for IDCO, signifies our foray into the sports vertical. This stadium, lauded as the largest hockey arena in the country accommodating 20,000 spectators, showcases our successful supervision and monitoring services alongside the Kalinga stadium and numerous other sports complexes across Odisha.

Having accomplished nearly 500 projects in India, encompassing pivotal initiatives like metro projects, the Mumbai Coastal Road Project, Atal Mission for Rejuvenation and Urban Transformation (AMRUT), Dam Rehabilitation & Improvement Project (DRIP), and the Pradhan Mantri Awas Yojana in Madhya Pradesh, among others, underscores our diverse contributions to India's infrastructure landscape.

Moreover, our substantial presence extends to Bangladesh, where we collaborate with the Dhaka Mass Transit Company Limited (DMTCL) to design Dhaka Metro Line 5 South. Additionally, our engagement with the Mongla Port Authority as project management consultants for the Upgradation of Mongla Port Project signifies our commitment to bolstering capacities to meet future economic growth and industrialisation demands in the hinterlands.

BT: What is the scale of Egis’ operation in India?

SG: Egis has been growing consistently over the years and is now a +3000 employees in India. We have outperformed the market with a CAGR of 18% as compared to market average of around 10%. Our order book is in the range of US$ 75 million. We have established market leadership positions across different verticals like Water, Port and Urban and significant market share in Rail and Roads and Highways. In addition to impressive organic growth, Egis has grown inorganically as well with WME as a notable acquisition. WME, part of Egis Group, is a multi-disciplinary consultancy providing engineering services for the built environment.

BT: Has the government become more aggressive in terms of infra building?

SG: Indeed, the current government's steadfast emphasis on infrastructure amplifies each passing year. There's a remarkable bullishness towards bolstering the nation's infrastructure, signifying a positive trajectory. Notably, the Government's allocation of Rs 111 crore under the National Infrastructure Pipeline for FY2019 – 25 underscores this commitment. Sectors like energy, roads, urban development, and railways comprise a significant 71% of this monumental infrastructure investment.

The introduction of the online "holistic governance" system, PM Gati Shakti, stands as a pioneering move, interconnecting 16 ministries across various domains like Roads and Highways, Railways, Shipping, Petroleum and Gas, Power, Telecom, Shipping, and Aviation. This innovative approach aims to streamline infrastructure project planning and execution, thereby reducing implementation costs and fostering a cohesive, multi-modal network.

Moreover, the Government's proactive initiatives, including the Asset Monetization Scheme and revised guidelines on procurement, are instrumental in propelling the Indian infrastructure sector in a positive direction. The surge in the government's focus on infrastructure development remains palpable, marking a notable upswing over recent years.

BT: Government, particularly the centre, is emphasising on infra projects, so how do you see Egis getting benefited from the initiatives?

SG: It presents a tremendous opportunity for us. The heightened attention on the infrastructure sector translates into substantial demand for engineering consultancy services, particularly in burgeoning economies like India. Our forte lies in crafting and managing intelligent infrastructure and buildings that effectively address the climate emergency, fostering a more balanced, sustainable, and resilient territorial development. Being among the select engineering firms in India equipped with expertise spanning multiple disciplines, we provide a comprehensive end-to-end service. Our unique approach integrates global excellence with localised insights, positioning us to seize vast opportunities in the region.

BT: Business outlook for Egis India?

SG: I want to emphasise our high confidence in India as a promising region with immense potential. Our firm belief in the vast opportunities here is unwavering. Furthermore, the entire group strongly supports our endeavours, recognising India's paramount significance. With a workforce that ranks as the largest outside France, India holds pivotal importance within our organisation. The group acknowledges the unparalleled quality and cost-effectiveness of our manpower, further underlining India's strategic importance for us.