India Autoclaved Aerated Concrete Blocks Market is Expected to Register a 9.10% CAGR Through 2030
Rapid Urbanization & Infrastructure Development and Rising
Demand for Cost-Effective & Durable Building Materials are likely to propel
the market during the forecast period.
According to
TechSci Research report, “India Autoclaved Aerated Concrete Blocks Market
– By Region, Competition, Forecast and Opportunities, 2020-2030F”, India Autoclaved Aerated Concrete Blocks
Market was valued at USD 3.62 Billion in 2024 and is expected to reach USD 6.16
Billion by 2030 with a CAGR of 9.10% during the forecast period.
India
is experiencing an unprecedented rate of urbanization, with millions of people
migrating to cities in search of better opportunities. This rapid urban
expansion has led to an increased demand for residential, commercial, and
industrial infrastructure. The construction industry is under pressure to
deliver high-quality, cost-effective, and sustainable buildings within short
time frames.
AAC
blocks, known for their lightweight nature and quick installation, have become
a preferred choice in modern construction. Compared to traditional clay bricks,
they reduce structural load, making them ideal for high-rise buildings and
large-scale infrastructure projects. Additionally, the government's push for
affordable housing under schemes like "Pradhan Mantri Awas Yojana"
(PMAY) and the "Smart Cities Mission" has further fueled demand.
Furthermore, large-scale developments such as metro rail projects, airports,
highways, and commercial complexes require sustainable building materials that
provide long-term cost efficiency. AAC blocks offer excellent thermal
insulation, reducing energy consumption in air-conditioned buildings. Their
high durability, soundproofing capabilities, and fire resistance make them an
attractive option for builders and developers. As
India continues to urbanize, the demand for AAC blocks is expected to rise
exponentially, driven by the need for faster construction, energy efficiency,
and environmental sustainability.
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data Figures spread through XX Pages and an in-depth TOC on " India Autoclaved Aerated Concrete Blocks Market.”
Based
on End User, The Residential held the largest market share in 2024. The residential sector holds the largest
share in the Indian AAC blocks market due to rapid urbanization, rising housing
demand, and government-backed affordable housing projects. Several factors
contribute to the dominance of AAC blocks in residential construction: India
is experiencing rapid urbanization, with a significant increase in housing
demand in metropolitan and Tier-2 and Tier-3 cities. With millions of people
migrating to urban areas, the need for cost-effective, durable, and
energy-efficient building materials has surged, driving the adoption of AAC
blocks in residential projects. The
government’s focus on affordable housing through schemes like Pradhan Mantri
Awas Yojana (PMAY) has accelerated the use of AAC blocks. These blocks enable
faster construction with reduced labor and material costs, making them ideal
for large-scale housing projects. AAC
blocks help reduce construction costs due to their lightweight nature, larger
size, and reduced mortar consumption. Additionally, their superior thermal
insulation helps homeowners save on energy bills by maintaining comfortable
indoor temperatures, reducing the need for air conditioning. AAC
blocks provide fire resistance, soundproofing, and earthquake resistance,
making them an attractive choice for residential construction, especially in
high-rise buildings and seismic zones. AAC
blocks are widely available across India, and their compatibility with
traditional masonry techniques makes them easier for builders and contractors
to adopt in residential construction.
Based on region,
North India has emerged as the fastest-growing region in the Autoclaved Aerated
Concrete (AAC) blocks market due to rapid urbanization, increasing construction
activities, and favorable government initiatives. Several key factors
contribute to this accelerated growth> Cities like
Delhi-NCR, Lucknow, Jaipur, Chandigarh, and Ludhiana are experiencing a
construction boom due to increasing population and urban migration. With rising
demand for residential, commercial, and industrial spaces, the adoption of AAC
blocks has surged due to their lightweight, cost-effective, and
energy-efficient properties. The Pradhan
Mantri Awas Yojana (PMAY) and Smart Cities Mission have significantly boosted
housing and urban development projects in North India. States like Uttar
Pradesh, Haryana, and Rajasthan have seen a surge in affordable housing
construction, where AAC blocks are increasingly used for their cost efficiency
and quick installation. Environmental
concerns and stringent regulations against red clay brick manufacturing (due to
topsoil depletion and pollution) have driven demand for AAC blocks. The
National Green Tribunal (NGT) has imposed restrictions on traditional brick
kilns, encouraging builders to switch to eco-friendly alternatives like AAC
blocks. Several leading
AAC block manufacturers have set up new production plants in North India,
reducing transportation costs and improving supply chains. This has made AAC
blocks more accessible and affordable in the region.
Major companies
operating in the India Autoclaved Aerated Concrete Blocks Market are:
- JK Lakshmi
Cement Ltd
- Biltech
Building Elements Limited
- Magicrete
Building Solutions Pvt Ltd
- Renaatus Procon
Private Limited
- Ambuja Cements
Ltd
- Godrej &
Boyce Mfg. Co. Ltd
- Aceton
Industries Resources Private Limited
- Methra
Industries India Private Limited
- HIL Limited
- Siporex India
Private Limited
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“The Indian Autoclaved Aerated Concrete
(AAC) blocks market presents a significant growth opportunity driven by rapid
urbanization, increasing infrastructure development, and the rising demand for
sustainable construction materials. The government's initiatives, such as
"Housing for All" and Smart Cities Mission, further accelerate market
expansion. AAC blocks offer advantages like lightweight construction, thermal
insulation, and eco-friendliness, making them a preferred alternative to
traditional bricks. Growing awareness of energy-efficient
buildings and stringent environmental regulations support market growth. With
increasing investments in residential, commercial, and industrial projects, the
AAC block industry in India is poised for substantial expansion in the coming years.” said Mr. Karan Chechi, Research Director of TechSci Research, a
research-based global management consulting firm.
“India Autoclaved Aerated
Concrete Blocks Market, By Product Type (Block, Lintel,
Floor Elements, Roof Panel, Wall Panel, Cladding Panel, Others), By End User
(Residential, Commercial, Industrial, Infrastructure), By Application
(Construction Materials, Road Construction, Roof Insulation, Bridge Sub-Structure,
Void Filling, Others), By Region, Competition, Forecast & Opportunities, 2020-2030F
”, has evaluated the future growth potential of India Autoclaved Aerated
Concrete Blocks Market and provides statistics & information on Market
size, structure and future Market growth. The report intends to provide
cutting-edge Market intelligence and help decision-makers make sound investment
decisions., The report also identifies and analyzes the emerging trends along
with essential drivers, challenges, and opportunities in the India Autoclaved
Aerated Concrete Blocks Market.
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