Magicrete Building Solutions: A Step Towards Greener Future
As India rapidly urbanises, and builds furiously to meet the massive shortage of housing, particularly in the affordable segment, the need has arisen for building solutions that are not just economical but also environment friendly and sustainable. Recognising the opportunity that this gap presents, Sourabh Bansal, an industrial engineer from IIT Kharagpur, decided to enter the building materials and construction technology space with his Magicrete Building Solutions.
Opportunities in the space are immense going forward. Already, there is a shortfall of 10 million housing units. To meet the needs of the burgeoning urban population, an additional 25 million affordable housing units are required by the year 2030.
Launched in 2008, when Bansal was just 24, Magicrete began by producing autoclaved aerated concrete or AAC blocks, a green building material that is lightweight compared to the clay brick and quicker as well as easier to lay, which save time and building cost.
Today, Magicrete is a leading company and a known brand in the building materials and construction technology space, thanks to the leadership of Bansal, the Co-founder and Managing Director of the company.
The company’s status is reflected in its revenue numbers as well. In 2021, AAC block sales revenue reached Rs 118.14 crore, signalling a robust presence in the market. Building on this momentum, 2022 witnessed a substantial surge in sales, reaching Rs 188.82 crore, indicative of increased market share and customer acceptance. The upward trajectory continued into 2023, with Magicrete AAC blocks achieving a remarkable sales revenue of Rs 236.38 crore, a testament to the company's strategic market approach, extensive distribution network, and effective marketing efforts that have expanded the customer base and reached new segments.
Sustainable Blocks
Bansal has expanded the company's focus beyond AAC blocks to include AAC wall panels and precast construction elements, demonstrating a commitment to sustainable solutions. This innovative approach addresses the growing demand for eco-friendly construction materials, positioning Magicrete as a leader in the industry and contributing to a more sustainable future.
For a long time, initiating and managing businesses involved in the construction of infrastructure including roads, bridges, and buildings has been fraught with substantial challenges. This endeavour is particularly daunting for individuals lacking prior experience in this domain. The complexities involved are considerable, encompassing high initial costs, intricate regulatory frameworks and a multitude of technical intricacies. But Magicrete’s journey is a testimony to Bansal’s astute leadership and his success in navigating the various challenges.
