The wood panel industry has considered a good support from the announcement of 80 lakhs affordable houses in union budget 2022. The budget presented this year has given a respite for the development of industry and trade as the Affordable Housing Sector has been given a boost in the Union Budget 2022-2023 with the allocation of Rs 48000 crore. It will be used in making 80 lakh affordable Houses and will be given to the public.
Presenting the Union Budget 2022-2023, Finance Minister Smt. Nirmala Sitharaman announced that Rs 48,000 crore has been allocated for housing projects under the Pradhan Mantri Awas Yojana. Under this, the government will also develop remote areas and border villages will also be covered under the Vibrant Village Program. The fund released by the government will give a boost to the wood panel industry.
The construction of new houses will boost the demand for building materials including plywood, laminate, doors and other decorative materials. Specially the demand for economic grade plywood, particle boards, MDF and laminates will suppose to increase after completion of these houses.
The Housing for All by 2022 initiative was taken by the Modi government within five months after the formation of government in the year 2014. Under this, every Indian has to be ensured a house. The capital investment and expenditure under the project over the years has also helped the wood panel industry a lot.
As per the data available by the Ministry of Housing and Urban Affairs, against the total stipulated demand of 1.12 crore houses, 1.14 crore houses have been sanctioned under PMAY (Urban). Out of a total of 91.5 lakh houses 53 lakh houses have been constructed and distributed till 12th December, 2021.