Overview
AAC (Autoclaved Aerated Concrete) blocks are an advanced building material used for the construction of walls, partitions, and other structures. Made from
lime,
sand,
cement, and
water, AAC blocks are lightweight, energy-efficient, and have excellent thermal insulation properties. These blocks have gained significant popularity in the construction industry due to their environmentally friendly properties and ease of installation.
Scalability & Profitability
The demand for AAC blocks is increasing in both residential and commercial construction due to their lightweight nature, cost-effectiveness, and energy efficiency. Profit margins in this business can range from
20% to 30% depending on factors such as production scale, technology, and market demand. The growing trend towards
eco-friendly construction further boosts the market potential for AAC blocks.
Eligibility Criteria
- Facility Setup: Requires specialized equipment such as autoclaves, mixers, and molds for block production.
- Standards Compliance: The blocks must meet the required building material standards.
Where You Can Apply for Subsidies
- MSME Schemes: Support for machinery, raw materials, and working capital requirements.
- Technology Upgradation Fund Scheme (TUFS): Financial assistance for adopting automated and energy-efficient production systems.
Project Cost & Subsidy
The cost of setting up an AAC block manufacturing unit typically ranges from
INR 50 Lakhs to INR 1 Crore, with subsidies available up to
30% of the total project cost.
To apply for the Food Processing Scheme, the following mandatory documents are required for new enterprises (Individuals/Firms) as outlined in the manual
1. PAN Card of concerned/all promoters.
2.Aadhaar Copy & Photo of all promoters/guarantors.
3. Address Proof: Any of the Officially Valid Documents (OVD) such as:
o Utility bill (not more than two months old) from any service provider (Electricity, telephone, post-paid mobile phone, piped gas, water bill).
o Property or Municipal tax paid receipt.
o Ration Card (Individual).
o Driving Licence
o Aadhaar Card.
o Voter ID Card.
4. Details of the site where the unit is to be established, including whether it is owned/rented/leased, along with proof (Lease/rent agreement should be for more than the loan repayment period).
5. Photocopy of Bank
6. Estimates and Quotation of all capital expenditure and machinery and equipment to be purchased. Statement/Bank Passbook for the last 6 months.
For existing enterprises with a turnover of less than 1 crore, similar documents are required, including PAN Card, Aadhaar, address proof, and site details.
If you need more specific information or additional documents, please let me know!