04 August 2020

Precast Concrete & Equipment

Precast is rolling



A number of precast manufacturing units have been set up in India. The demand for precast systems is rising day by day as the developers and Govt. institutions have felt the necessity of completion of projects faster and pass on benefits to the customers early as well. With Housing for All and other schemes in full swing, the Precast Concrete Market is expected to be worth $146.13 billion by 2027.  R Kashyap writes.



Precast concrete is a construction material that is manufactured by casting concrete in a reusable form. The cast is then cured and transported to the construction site. Unlike standard concrete which is cured in the construction site, precast concrete is manufactured in specially equipped manufacturing plants and then transported to the construction site, ready to be installed. The precast concrete are manufactured in plants, some of which needs to be certified by architectural associations and other government agencies. Moreover, precast concrete manufacturing activities in manufacturing plants ensures better quality as compared to standard concrete manufactured in construction sites.


Raw materials required for precast concrete manufacturing include cement, aggregates and water. Precast concrete manufacturing is carried out in controlled environmental conditions and hence it is independent of adverse weather conditions. Owing to this, the manufacturing process of precast concrete is unhindered and hence the supply fluctuation is generally nonexistent. Precast concrete materials can be reused several times before they need to be replaced. Hence, the production cost of precast concrete is significantly low which makes the end products affordable.


Precast concrete manufactured products commonly include roofing tiles, building boards, concrete panels and slabs, prestressed bridge beams, poles, posts and railroad ties. These products are available in a wide range of designs, finishes and colors. Precast concrete manufactured products find application in the construction industry. Primarily they are used in construction of residential, nonresidential and industrial building. However, they are also used for the construction of transportation infrastructure and public structures such as sewage and sanitation systems. Precast concrete products are durable and can withstand a lot of pressure. Moreover, usage of precast concrete products speed up the construction activities.


As the name suggests, Precast Concrete is a technology where precast components are fabricated or assembled offsite, transported to the project site, and mounted on a ready foundation. The process involves casting of concrete in a reusable mold or form. Before it is ready to be transported, the concrete is cured in a precast plant under a controlled environment unlike a standard concrete, which is poured into site-specific forms and left to be cured there.


Global construction industry is experiencing slow growth rate especially for residential construction in mature economies such as North America and Europe. However, the increasing construction activities in developing regions such as Asia Pacific, Middle East & Africa and Latin America is anticipated to boost the demand for precast concrete manufactured considerably during the forecast periods. Nonresidential application is expected to be one of the fastest growing applications of precast concrete manufacturing products. Rapid commercialization is expected to boost the sales of precast manufactured products such as building boards and roofing tiles.


Owing to the affordable cost of precast concrete manufactured products over other overpriced construction materials, the demand is expected to experience considerable growth for nonresidential applications. Increasing globalization has enhanced the need for infrastructural development. This has resulted in increasing expenditure in infrastructural development, which is expected to improve the sales of precast concrete manufactured products for transportation infrastructure and public structures such as sewage and sanitation systems applications. One of the major restrain of the construction industry is the sustainability issues over the manufacturing of concrete. However, precast concrete manufacturing is carried out in manufacturing plants located away from residential areas, controlled environment and is closely monitored by factory employees hence is considered sustainable.




Fast Facts
  • Currently, at 67 per cent housing accounts for the biggest consumption of cement and concrete, followed by infra at 13 per cent, commercial real estate at 11 per cent, and industrial real estate at 8 per cent.
  • Precast Concrete Market is expected to be worth $146.13 billion by 2027.
  • There is huge demand for precast across real estate verticals, ranging from affordable housing to commercial and industrial real estate.
  • Residential is the largest end-user segment in the market






Demand Drivers


The new imperative in India’s infra sector is timely execution of projects, and precast is the fastest way to ensure that projects don’t have time overruns and the consequent cost overruns. Till recently the biggest demand drivers were EPC projects in the infra sector, Precast technology allows you to cast entire sections of a bridge or a road, or elevated transport corridors, as also in urban infra like metro rail, logistics parks which use PEB warehousing, tunnel projects for metro rails, etc. With fast track roll out of projects in the form of large scale commercial, industrial and residential developments and infrastructure projects demand for precast is increasing rapidly. Now precast is spilling into the real estate segment also, due its ability to meet tight timelines of project execution and the ease of modular construction where every floor is simply repeated using precast sections like walls, beams in all dimensions, and other sections and panels.


There is huge demand for precast across real estate verticals, ranging from affordable housing to commercial and industrial real estate. Most of this demand is fuelled by rapid urbanization in India, which is increasing the demand for housing and real estate. Smart city development and redevelopment projects are another demand driver. With the fourth list of Smart City projects announced recently, Greenfield and brown field projects in urban infra and power and water.


Utilities, all will be using precast technology and materials. Like a Lego toy block set, precast allows you to build easily and with speed.


Precast delivers a surfeit of benefits over traditional, in-situ building construction and are produced by casting individual concrete elements like solid walls, solid floors, hollow core slabs, prestressed and precast Currently, at 67 per cent housing accounts for the biggest consumption of cement and concrete, followed by infra at 13 per cent, commercial real estate at 11 per cent, and industrial real estate at 8 per cent. To meet this rising demand for precast materials , cement companies are expected to increase capacity to over 56 million tonnes for the next three years.




Precast brings in benefits to the environment that are easily overlooked. Precast concrete is produced in a controlled environment which makes it far more resource efficient than more traditional means of construction. Innovative compounds also help produce precast concrete with much lesser water without sacrificing technical requirements. Charrith Reddy, Co-Founder,  Arto Precast












It’s all about the value we bring to the table. Elematic India offers full-fledged Technology partnership and Engineering services. Not only do we have local presence of after sales service teams, we also have Engineering resources that help clients in executing projects. No other competitor offers such full range of services that help client go through the learning curve with minimal disruption to the project. Shridhar Rao, Sales Head, Elematic India









Market Insights


The global precast concrete market size was estimated at USD 78.44 billion in 2016 and is projected to register a CAGR of 6.1% over the forecast period of 2018-2025. Rise in construction activities around the globe is expected to drive the growth of precast construction.


Growth in urban population is a major megatrend, which is transforming the construction industry in most countries. In addition, the demand for affordable housing is increasing, along with soaring demand for transport and utility infrastructure. This, in turn, is anticipated to propel the market over the coming years.


Short construction time and low cost are the major advantages offered by precast concrete. This renders it popular among builders and contractors. Temperature, stripping time, and mix designs, which is a very important factor for manufacturing of strong concrete products, can be monitored and checked in a factory setting. Hence buildings made of precast concrete are stronger in comparison to those made with conventional concrete. The above-mentioned features are anticipated to drive the market to exhibit a steady growth rate from 2017 to 2025.


Despite cheap manufacturing prices of precast concrete products, their transportation from factory to construction sites requires specific resources. The industry also requires skilled labor as the use of precast concrete for construction of buildings is entirely different from traditional methods of construction. This, shortage is likely to restrain the growth of the market over the forecast period.




Product Type Insights


Structural building components are expected to form the fastest growing product type segment in the precast concrete market owing to extensive use in residential and non residential buildings.Transportation is also one of the major segments owing to various projects undertaken by governments around the globe. OBOR and CPEC are some of the projects undertaken by the Chinese government to improve the country’s logistical capabilities. Precast concrete has been used in water and waste handling products for many years. Water handling products are used to carry water from dams to cities and waste handling products are used to transfer sewage from cities to sewage treatment plants. Expansion of cities and the creation of new smart cities are expected to trigger demand for these product types.



End-user Insights


Residential is the largest end-user segment in the market. Increasing middle-class population all over the globe is generating significant demand for affordable housing. Government initiatives to support housing for the poor and middle-class population are expected to further spur the market. The nonresidential segment is expected to register the fastest growth rate due to increasing use of precast concrete in construction of nonresidential complexes, malls, offices spaces, education institutes, universities, hotels, and hospitals.



Regional Insights


Asia Pacific is anticipated to be a major regional market over the next few years. Rapidly growing population in the region has led to massive demand for affordable housing. Increasing disposable income in developing countries, especially in China and India, is also expected to trigger a rise in residential and nonresidential construction.


The revival of the housing sector in developed nations such as the U.S., U.K., and Germany is expected to drive the market in these regions. Middle East and Africa (MEA) is one of the fastest growing regional markets owing to its massive construction sector. Various megaprojects in the region, such as the mega city called NEOM in Saudi Arabia and large football stadiums in Qatar for the FIFA World Cup 2022, are anticipated to increase demand for precast concrete in the region. Similarly, construction of skyscrapers and artificial islands in Dubai is expected to drive the regional market over the forecast period.