HIL Limited, Siporex, Magicrete and Biltech Dominate the AAC Block Market in India

Brick, AAC block and concrete block industry forms the backbone of the booming Indian construction sector. India is the second-largest brick manufacturer in the world after China. Indian brick industry is almost entirely unorganized and characterized by the presence of a large number of small scale manufacturers that compete with one another at the regional level.

Demand for real estate is growing in India with bright prospects for the economy. Property developers in major cities are using clay brick in the new multi-story buildings in India as the cost of these bricks is low and the bricks have long durability.

One of the factors for such high demand for clay brick in the construction sector is the price of the bricks which are cheaper in terms of price as compared to their substitutes such as AAC blocks. AAC blocks are the latest innovation in bricks space in India and the product is still in its initial stages of main scale adoption.

Solid concrete block is the most commonly used concrete block and has the highest market share in the overall concrete block segment. These blocks are commonly used to build load-bearing walls due to its density and compressive strength of 5newton/meter square which is high than hollow blocks, this is the main reason for being the leader in the concrete block segment.

Hollow concrete blocks help in reducing joints in building and therefore lead to less usage of mortar and are, therefore, more cost-effective. Hollow block makes it easier to pass electrical and plumbing fixtures through the hollow space between the bricks.

Zig-Zag, HDK, and DDK firing processes are almost similar to essential variations in brick setting patterns where the kiln basic structure remains the same.

The main objective of a manufacturer is to make a profit on the product he sells therefore the basic cost of manufacturing brick and other associated costs are considered to decide the price of the brick. The basic cost of manufacturing includes the cost of raw material, labor cost, cost of capital invested in the business and other miscellaneous charges incurred for production. After calculating the production cost, administrative charges and transportation costs are included to get an estimate of the price it can be sold after considering the margin of the company and its distributors and retailers.

For more information on the market research report please refer to the below link:-

https://www.kenresearch.com/manufacturing-and-construction/construction-materials/india-bricks-blocks-market-report/86800-97.html

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