Dublin, March 12, 2025 (GLOBE NEWSWIRE) -- The "India Prefabricated Buildings Market, By Region, Competition, Forecast & Opportunities, 2020-2030F" report has been added to ResearchAndMarkets.com's offering.
The India Prefabricated Buildings Market was valued at USD 2.70 Billion in 2024, and is expected to reach USD 5.47 Billion by 2030, rising at a CAGR of 12.32%.
Government support plays a crucial role in driving the growth of the prefabricated buildings market in India. Several government initiatives and policies have been designed to boost infrastructure development, with a specific focus on affordable housing, rural development, and urbanization. For instance, the government's Smart Cities Mission aims to transform Indian cities into sustainable urban spaces with improved infrastructure, public services, and affordable housing. This vision aligns with the advantages offered by prefabricated buildings, as they provide a faster, cost-effective, and environmentally friendly solution to meet the growing demand for housing and infrastructure in urban areas.
Prefabricated buildings are seen as a viable option to meet the ambitious target of providing affordable homes within a short time frame. The ability to produce prefabricated components in a factory setting allows for streamlined production and quicker assembly, reducing construction times and costs significantly. This makes prefabricated buildings an attractive solution for the government's affordable housing programs.
The government has also introduced various policies that encourage private sector investment in the construction of prefabricated buildings. Tax incentives, subsidies, and relaxed regulations for prefab construction are expected to further accelerate the adoption of these buildings across various sectors. In rural areas, where infrastructure development is often slower due to geographical and logistical challenges, prefabricated buildings are proving to be a practical solution for setting up schools, healthcare centers, and housing. These government-backed initiatives are key drivers of the prefabricated buildings market in India, making it an attractive and growing sector.
Key Market Challenges
One of the key challenges facing the prefabricated buildings market in India is the lack of awareness and acceptance among various stakeholders, including developers, architects, builders, and end consumers. Traditional construction methods have been deeply ingrained in India's construction industry for decades, and there is a prevailing perception that prefabricated buildings are less durable, less aesthetically pleasing, or more expensive. This skepticism often stems from a lack of exposure to successful prefabricated projects and limited understanding of the long-term benefits that such buildings offer.
Many people in India still prefer conventional brick-and-mortar construction due to its cultural and historical significance, as well as its perceived reliability. Furthermore, a traditional construction project allows for more flexibility in terms of design and customization, something that many potential buyers and developers feel prefabricated buildings may lack. In reality, prefabricated structures can be highly customizable and are often just as durable and safe as conventional buildings. However, this misconception persists, hindering widespread adoption.
Another issue contributing to the lack of acceptance is the relative novelty of prefabricated buildings in India. While the market has been growing steadily, it still represents a small percentage of overall construction projects compared to traditional buildings. Builders and contractors are often hesitant to invest in prefabrication due to a lack of familiarity with the technology and the processes involved. As a result, the industry faces a knowledge gap that inhibits its growth potential.
To overcome this challenge, there needs to be increased education and awareness within the industry. Developers, architects, and construction professionals should be exposed to the latest advancements in prefabricated building technology through workshops, seminars, and training programs. Additionally, showcasing successful prefabricated projects, particularly those in urban areas, could help build consumer trust and demonstrate the advantages of prefabricated structures. As awareness grows and misconceptions are dispelled, the acceptance of prefabricated buildings in India will likely increase, paving the way for further market expansion.
Key Market Trends
Rising Demand for Affordable Housing
The demand for affordable housing in India is a significant market trend driving the growth of the prefabricated buildings sector. With a rapidly expanding population, urbanization, and increasing migration from rural to urban areas, there is a substantial need for low-cost, quickly constructed homes. The Indian government's initiatives like Pradhan Mantri Awas Yojana (PMAY), which aims to provide affordable housing for all by 2022, further accelerates this trend. These government programs have underscored the importance of developing cost-effective housing solutions that are also quick to deploy, and prefabricated buildings fit these requirements perfectly.
Prefabricated buildings, due to their faster construction timelines and lower labor costs, can significantly reduce the overall cost of constructing homes. This is particularly crucial in urban centers where space is limited, and construction costs are high. The modular nature of prefabricated buildings allows for easy scalability, making them a suitable solution for the development of large residential complexes at affordable prices. Prefabrication also eliminates many of the inefficiencies associated with traditional construction methods, such as weather delays or on-site labor shortages, further reducing costs and time frames.
Moreover, the prefabrication process ensures that buildings are constructed with consistent quality and minimal wastage, providing an additional layer of cost efficiency. As more real estate developers and government initiatives focus on providing affordable housing to India's growing population, the demand for prefabricated buildings will likely continue to increase. This trend represents a long-term opportunity for the sector, especially as urban areas continue to experience rapid growth and the need for affordable housing becomes more urgent. Affordable housing currently accounts for about 60% of the total housing market in India, reflecting the growing demand in this sector.
Report Scope:
Key Market Players
- Lendlease Corporation Limited
- Sekisui House Ltd
- Daiwa House Industry
- Champion Homes, Inc
- Morton Buildings, Inc
- Skanska AB
- Barratt Redrow Plc
- Persimmon Plc
India Prefabricated Buildings Market, By Size:
- Single Family
- Multiple Family
India Prefabricated Buildings Market, By Structure:
- Skeleton System
- Panel System
- Cellular System
- Combined System
India Prefabricated Buildings Market, By Application:
- Residential
- Commercial
- Industrial
India Prefabricated Buildings Market, By Region:
- South India
- North India
- West India
- East India
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 88 |
| Forecast Period | 2024 - 2030 |
| Estimated Market Value (USD) in 2024 | $2.7 Billion |
| Forecasted Market Value (USD) by 2030 | $5.47 Billion |
| Compound Annual Growth Rate | 12.3% |
| Regions Covered | India |
For more information about this report visit https://www.researchandmarkets.com/r/c9lv1u
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