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The Manufacture of Clay And Concrete Bricks
This report focuses on the manufacture of clay bricks and concrete masonry units, which are important components of the building and construction industry. Despite the decline of the construction industry since 2010, major brickmakers continue to report good results due to increasing demand for residential property. While industry output has remained relatively constant since 2014 at approximately 3.6 billion standard brick equivalents, the industry continues to contract and concentrate.
Opportunities for Growth
While there has been a decline in investment in large construction projects, brickmakers and concrete masonry unit producers have benefitted from the growth in smaller construction projects, affordable housing, retail and townhouse developments, and some mega projects. Government’s 2018 Budget allocated R800bn over three years on housing, roads, public transport, water and electricity infrastructure spend. Government also wants to encourage private sector investment in the independent power producer programme.
The Manufacture of Clay and Concrete Bricks report describes the state of the industry and conditions and factors influencing its success. It includes comprehensive profiles of 28 companies including Corobrik, the country’s largest brick manufacturer, which produces a billion bricks annually and has announced significant investment in expansion. There are also profiles on companies such as Ocon Brick, which was sold by the Infrastructure Specialist Group in September, Langkloof Bricks, which uses waste tyres to dry clay bricks and Algoa, which adds condemned juice waste to clay in the mixing and extrusion process, providing an equivalent litre savings in municipal water.