- Center’s norms of compulsory use of material made out of fly-ash within 100 kilometers radius of thermal plants is expected to drive the sales of fly-ash, concrete blocks and AAC blocks.
- India’s ambitious initiative of “Housing for All by 2022”is expected to one of the major growth driver for the blocks and bricks industry of the country. The recent announcement of granting an “infrastructure” status to the “Affordable Housing” in Budget 2017 is expected to result in increased participation from private players to meet the existing deficit of 20 million housing units.
- With National Housing Bank agreeing to refinance individual loans worth INR 200 billion as of January 2017 and several other government initiatives such as development of 100 smart cities for which INR 480 billion has been allocated, the market is anticipated to register stupendous growth.
India follows the traditional method of brick making and it is reported that India has more than 125,000 registered/unregistered clay brick kilns which satisfy the annual demand of more than 250 billion bricks. India’s red clay brick industry uses conventional firing techniques, a process which is highly labor intensive and has fuel requirement, and is dominated by small scale brick kilns. As a result, environmental concern has become a big issue as traditional method consumes fertile soil, consumes a lot of energy (25 million tonnes of coal and 350 million tonnes of soil annually) and emits greenhouse gas which has led to the demand for green building materials.
Several new eco-friendly substitutes of clay bricks such as fly-ash bricks, AAC blocks and concrete blocks which are manufactured using 60-65% of fly ash (a waste from coal based thermal plants) have gained a lot of traction in the Indian market. Although AAC blocks have several beneficial attributes, they are the recent entrants to the market and accounted for a very small market share of total brick market, as of FY’2016.
India blocks and bricks market is expected to witness a decline in its growth rate in FY’2017 ending March as the real estate sector has been adversely affected by the effects of demonetization since November 2016. As bricks and blocks market in India is an informal one to a large extent, demonetization has been a big blow to the growth prospects of this sector in the short term. North India market has been more affected as compared to Southern market as more transactions take place through banking channels and off-take of government projects. With several construction projects in pipeline, the market is expected to overcome the short term effects of demonetization and grow at a stupendous pace post FY’2018 ending March.
“Companies are required to market AAC blocks by drawing attention about the overall cost and construction time of the structure that they intend to construct. Mouth-to-mouth marketing highlighting the value proposition of the product is very vital in this sector. Customers would naturally opt for higher quality products, especially when recommended by their contractors. Hence, it is imperative for manufacturers to indulge in below the line publicity to these contractors and grow their network by offering early lucrative discounts”, according to Research Analyst, Ken Research.
Key Topics Covered in the Report:
- Value Chain Analysis of India Blocks and Bricks Market
- India Blocks and Bricks Market Introduction and Size, FY’2011-FY’2016
- India Blocks and Bricks Market Segmentation
- By Type of Bricks (Clay, Fly-Ash, Concrete Block, AAC Block and Others), FY’2016
- By Concrete Block Types (Solid, Hollow, CLC and RMC), FY’2016
- By Manufacturing Process of Clay Bricks (BTK, Clamps, Zig-Zag, HDK and Others), FY’2016
- By Application of Bricks (Residential and Non-Residential), FY’2016
- Pricing Strategy in India Blocks and Bricks Market
- Competitive Landscape of India Blocks and Bricks Market
- Snapshot on India AAC Blocks Market
- Company Profiles of Major Players in India AAC Blocks Market
- Market Share of Major Players in India AAC Blocks Market
- India AAC Blocks Market Future Outlook and Projections, FY’2017-FY’2021
- Investment Models for Setting up Clay, Fly-Ash and AAC Block Manufacturing Unit
- Regulatory Landscape of India Blocks and Bricks Market
- Issues and Challenges in India Blocks and Bricks Market
- Porter’s Five Forces Analysis for India Blocks and Bricks market
- India Blocks and Bricks Market Future Outlook and Projections, FY’2017-FY’2021
- Analyst Recommendations
- Macro-economic Factors Impacting India Blocks and Bricks Market
Key Products Mentioned in the Report
Clay Brick
Bulls Trench Kilns Clay Bricks
Clamps Clay Bricks
Zig-Zag, HDK,DDK Clay Bricks
Fly-Ash Brick
Solid Concrete Block
Hollow Concrete Block
Cellular Lightweight Concrete Block
Ready Mix Concrete Block
AAC Block
Key Market Players Covered in the Report:
HIL Limited
Siporex India
Magicrete Building Solutions
Biltech Building Elements Limited
JK Lakshmi Cement
UltraTech Cement
For more information about the publication, refer to below link:
https://www.kenresearch.com/manufacturing-and-construction/construction-materials/india-bricks-blocks-market-report/86800-97.html
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