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The Construction Saga of Magicrete

Govt. Projects

When the mobile phone apps that we use in our daily routine are being updated once in every week, why are we still sticking to the traditional methods which includes clay bricks and cement when it comes to construction

This thought pushed our co-founders Sourabh Bansal, Puneet Mittal and Sidharth Bansal to start a company, “MAGICRETE“, with a perfect mission and a clear vision.

Their mission was to increase the fabrication of unconventional construction equipments to be supplied to the Indian Construction Industry.

They brought the use of AAC blocks; dry mix products like block joining adhesives, gypsum plaster and ‘ready-to-use sand cement plaster'; precast products including beams, concrete blocks, columns and slabs – all of them, into broad daylight.

Magicrete has successfully completed many famous projects across the county. For instance,

  • The Lodha Imperia and Lodha Bellisimo, Mumbai.
  • Mukesh Ambani’s residence, Antilia, Mumbai.
  • India Bulls Finance Centre, Mumbai.
  • Rahul Raj Mall, Surat.

 

Magicrete takes immense delight in the construction of the government mega projects.

  1. Supreme Court Project, Pragati Maidan, New Delhi:

With the Supreme Court complex experiencing space crisis, the government has sanctioned a Rs. 884.30 crore project for the erection of an additional office building for the apex court to create sufficient room for the library, waiting areas and a car park. Magicrete will be the proud supplier of AAC blocks for this mega project.

  1. DDA project, Kalkaji, New Delhi:

The Delhi Development Authority has come up with a three- phased rehabilitation project for the slum dwellers in Kalkaji which was recently initiated. In this project too, the construction will use the AAC blocks from Magicrete.

  1. PNB headquarters, Dwarka, New Delhi:

The Punjab National Bank is standing in need of a new headquarters at Dwarka, New Delhi with super structured facilities. The AAC blocks for construction of this building will be supplied by Magicrete.

  1. High Court Project, New Delhi:

Our company takes great pride to announce that we will be supplying AAC blocks for the High Court construction project at New Delhi.

 

  1. IIM, Rohtak:

The Indian Institute of Management, Rohtak decided upon a quick shift to the new campus to carry forward the growth actions. In this regard, the institute has stated its priority to complete the first phase of the new campus. The institute has teamed up with Magicrete for the supply of AAC blocks for the construction of the new campus.

 

  1. DDA Project, Jasola, New Delhi:

The Delhi Development Authority’s new housing scheme proposal, which was earlier planned to be launched in the month of February, has been sent to the Lt. Governor for his nod. When approved, the construction will be using the AAC blocks from Magicrete.

 

  1. South Asian University, Maidangarhi:

The South Asian University, an international university which is currently functioning from Akbar Bhavan Campus in Chanakyapuri, New Delhi, is now being moved to Maidangarhi, South Delhi. For the construction of the new university site, the construction will be using the Magicrete AAC blocks as they are the best.

 

Magicrete is widely being recognized for their wide range of construction products, world class infrastructure and value added services.

Laying the foundations deep inside the earth, they have achieved operational excellence in 14 states including Gujarat, Rajasthan, Madhya Pradesh, Uttar Pradesh, Andhra Pradesh, Telangana, Haryana, Himachal Pradesh and Jammu and Kashmir.  And in no time, they will have covered the whole country, if this is the pace they move ahead with.

Ideal replacement for the traditional clay bricks in your home

Say No to Traditional Clay Bricks

Say no to the traditional clay bricks while you build your home and use the AAC blocks that are efficient and long lasting. AAC blocks are designed to provide you with higher safety and better infrastructure. Age old practices of constructing properties with the use of clay bricks has now been replaced by AAC blocks that offer various advantages and are also easy to use. AAC blocks are gaining importance as well as recognition in India; the blocks are light in weight and versatile for use. They are earthquake resistant and have higher strength, which is essential for your home. With the changing technology and increasing innovations across the construction sector, AAC blocks are here to make your job easier and your property stronger.

Magicrete is a pioneer in the manufacture of AAC bricks that are high in quality and precisely designed. They use a path breaking technology and offer ecofriendly construction materials that will provide the necessary strength to your building and also ensure that it remains cost efficient. Magicrete is committed to excellence and has worked for many successful construction projects across the Country. It caters to the growing need of AAC blocks across the country and provides premium services to them. It maintains consistent quality and offers customized solutions to the customers depending on their requirements.

Magicrete is the first AAC Company that provides complete walling solutions using state of the art technology and it offers a wide range of products. It is present in 14 States and 30 cities with its 2000 retail outlets. They have served more than 2000 projects and aim to reach out to more cities with the AAC blocks. Magicrete aims to educate individuals about the benefits of using AAC blocks in place of the traditional clay bricks and to reduce the overall cost of construction. They also have various satisfied clients across the country that vouch for their products and services. AAC blocks are easily available and they are light in weight which makes them easier to transport and use in the process of construction. With a high quality infrastructure and a cost efficient form of construction, AAC blocks are here to stay and the sooner you switch to it, the more benefits you will reap.

After a few years of construction, the exterior walls usually suffer due to the weather changes, which cause trouble on the exterior as well as the interior of the house. With the use of AAC blocks, your wall will remain intact and strong for a long duration and the exterior beauty of your house will remain the same for many years to come. With the use of AAC blocks, your house will remain earthquake resistant and you will be able to enjoy a stress free monsoon. The blocks are ideal to weather all the seasons and remain strong through the same. Most importantly, they are light in weight which makes it easier to carry them on the site of construction.

The ultimate solution for a pest free wall

 

Keep your Wall pest free

 

The wall of your home could be infected by pests and destroy the exterior as well as interior beauty. Every home leaves an impression based on its exterior beauty, in terms of the strength, durability and the paint. A wall could be infected by pests due to the change in weather and the pests could keep increasing over the same area of the wall. Thus, the beauty of your home could be destroyed and it could give a negative impression to onlookers. You can now ensure that your wall remains pest free, with the use of versatile and cost efficient AAC blocks.

An ideal replacement for traditional clay bricks, the AAC blocks are light in weight and produced in a wide range of sizes and strengths. These blocks are three times lighter than the red bricks and are easy to transport to the place of construction. AAC blocks are most used for building materials across Europe and are gaining importance across different nations in the World. It is an excellent building material due to its characteristics that are advantageous in the long term. It offers an opportunity to increase the building quality and decrease the cost of construction. The unique building material consists of sand, water, quicklime, cement and gypsum. There are various benefits of using the AAC blocks for construction in your home. The blocks are versatile and light in weight, which makes them easier to transport. These blocks offer fire resistance of up to 6 hours and are sound proof. They reduce the absorption of sound to a large extent which is the main reason behind its use in the construction of auditoriums, hotels, studios, hospitals, etc. The blocks are ideal for pest resistance since it consists of an inorganic material which helps avoid termites, losses or damages.

Since the blocks are easy to handle, they help fasten the process of construction. Ordinary tools of construction can be easily used to cut and align the blocks. They are available in a variety of sizes and strengths which allows you to choose the most appropriate size for your building. The versatile blocks are superior in terms of the strength and give higher stability as well as improve the structure of the building. Another characteristic of the block is earthquake resistance, which gives a higher steadiness in the construction of the structure of the building. Using the AAC blocks will make your building reliable, safer and help in cost savings.

Magicrete offers complete walling solutions to all your needs. It provides premium quality AAC blocks that are available in a variety of sizes and strengths. It caters to various clients across the country and aims to expand the market. Using the latest technology and manufacturing an alternative to the clay bricks, Magicrete has successfully managed to change the Indian construction industry and helps build stronger and cost efficient buildings. It has a quick delivery and an efficient after sales service for the customers.

 

Choose Magicrete for a strong and durable home

Choose Magicrete for a strong and durable home

Are you constructing a new house? Are you renovating your house? Make sure you use the best products available in the industry to build a strong and reliable house. With the use of latest technology and the innovations in the industry, it is now possible to build a house that is earthquake resistant and allows you to enjoy the weather without any stress. Indian construction industry uses innovative technology that allows you to maximize the efficiency and ensure that the products used are cost efficient as well.

You can now replace the traditional clay bricks with AAC (Autoclaved Aerated Concrete) blocks brought to you by Magicrete. The AAC blocks are high in strength, light in weight and cost efficient. The blocks are an ideal replacement for the heavy bricks which required a lot of effort in terms of transportation. There are various benefits of using AAC blocks for your construction; these blocks are versatile with properties of earthquake resistance, thermal conductivity and ease of use. AAC blocks are used across many countries in the World; they have only started to make a mark in India and across the Indian construction industry. Magicrete offers a range of products that are technology driven and also offers value added services to all the clients. It is the first AAC Company to have provided complete walling solutions with a range of products that are high in quality and highly durable. Magicrete has a technology driven model which ensures timely dispatch, quality check and provides value added services.

It has successfully served more than 2000 projects with esteemed clients that include Reliance Industries Limited, Larsen and Toubro Limited, TATA Housing, DLF Building and many more. The clients are highly satisfied with the products offered by Magicrete and are moving towards the adoption of new technology. AAC blocks are environment friendly and do not pollute air, water or land. This ensures that there is no generation of waste during the construction process. Another primary consideration of the blocks is moisture protection. The AAC blocks have porous structure, which are small air bubbles distributed evenly throughout the material. This ensures that there is minimal absorption of water into the AAC blocks and gives complete protection internally as well as externally.

Magicrete aims to introduce the latest technology and replace traditional clay bricks with AAC Blocks. It is a pioneer in the manufacture and sales of the AAC blocks which are making news across different cities. They aim to provide complete information about the use and benefits of the same, so that the client knows that they are investing in the best for their homes. If you have a property under construction or are planning to build a house, do take a look at the products offered by Magicrete and choose nothing but the best for yourself. The long lasting and versatile AAC blocks are here to stay and make a mark in the construction industry across the nation.

How can your home improve your social status?

Choose green product and improve social status

Everyone builds a home with love and care. We all want to use premium quality material and build a home that is strong, durable and looks beautiful from the inside and the outside. What you choose for you home reflects a lot about your personality. Every aspect and element that goes inside the home has a lot to say to the onlookers. The exterior beauty of the home leaves an impression on the onlookers which is why it is essential to use the finest material and ensure that your home is strong and pest free. You can now improve your social status with the use of right materials while building your home.

You can ensure that your home is strong and cost efficient with the use of AAC blocks. The Autoclaved Aerated Concrete is light weight, durable building material that is available in a wide range of sizes and strengths. The AAC blocks are an ideal replacement for the traditional clay bricks. These blocks are light in weight, easy to transport and highly cost efficient. The blocks are used as a regular building material across various countries and are now introduced in India by Magicrete. The unique building material offers ultimate flexibility, durability and workability. It contains sand, water, cement, quicklime and gypsum as the main material. AAC contains about 60% to 80% of air by volume. The usage of these blocks for construction ensures that you save on cost and the construction proceeds at a quicker pace.

The blocks have an attractive appearance and are versatile, which allows you to achieve any type of design you may want. It also comes with exceptional thermal insulation qualities that help maintain the right temperature inside the house. During summer, it would keep the temperature cool and in winters, it would maintain the inner temperature to be warm. It helps you save in air conditioning load and reduce the consumption of energy. AAC is a nontoxic product which does not pollute the air, water or land. There are no by products in the manufacturing process of these blocks. The blocks are manufactured in a variety of sizes and strengths, which will allow you to choose whichever shape you want for your home. AAC blocks are pest resistant, fire resistant, earthquake resistant and sound proof. You can enjoy every season without any stress; the blocks are moisture resistant and will not allow the seepage of water inside the walls. Thus, there will be no impact on the exterior beauty of your home for many years to come.

Magicrete caters to a growing number of clients that regularly use AAC blocks for their construction projects. With the use of latest technology and quick service, Magicrete has been able to reach out to people across the nation and to bring awareness about the benefits of using this product. With increasing awareness, more and more builders and architects prefer to use AAC blocks in place of the traditional clay bricks and reduce the cost of construction.

Choose Magicrete for a strong and durable home

Are you constructing a new house? Are you renovating your house? Make sure you use the best products available in the industry to build a strong and reliable house. With the use of latest technology and the innovations in the industry, it is now possible to build a house that is earthquake resistant and allows you to enjoy the weather without any stress. Indian construction industry uses innovative technology that allows you to maximize the efficiency and ensure that the products used are cost efficient as well.

You can now replace the traditional clay bricks with AAC (Autoclaved Aerated Concrete) blocks brought to you by Magicrete. The AAC blocks are high in strength, light in weight and cost efficient. The blocks are an ideal replacement for the heavy bricks which required a lot of effort in terms of transportation. There are various benefits of using AAC blocks for your construction; these blocks are versatile with properties of earthquake resistance, thermal conductivity and ease of use. AAC blocks are used across many countries in the World; they have only started to make a mark in India and across the Indian construction industry. Magicrete offers a range of products that are technology driven and also offers value added services to all the clients. It is the first AAC Company to have provided complete walling solutions with a range of products that are high in quality and highly durable. Magicrete has a technology driven model which ensures timely dispatch, quality check and provides value added services.

It has successfully served more than 2000 projects with esteemed clients that include Reliance Industries Limited, Larsen and Toubro Limited, TATA Housing, DLF Building and many more. The clients are highly satisfied with the products offered by Magicrete and are moving towards the adoption of new technology. AAC blocks are environment friendly and do not pollute air, water or land. This ensures that there is no generation of waste during the construction process. Another primary consideration of the blocks is moisture protection. The AAC blocks have porous structure, which are small air bubbles distributed evenly throughout the material. This ensures that there is minimal absorption of water into the AAC blocks and gives complete protection internally as well as externally.

Magicrete aims to introduce the latest technology and replace traditional clay bricks with AAC Blocks. It is a pioneer in the manufacture and sales of the AAC blocks which are making news across different cities. They aim to provide complete information about the use and benefits of the same, so that the client knows that they are investing in the best for their homes. If you have a property under construction or are planning to build a house, do take a look at the products offered by Magicrete and choose nothing but the best for yourself. The long lasting and versatile AAC blocks are here to stay and make a mark in the construction industry across the nation.

Use water resistant AAC blocks and enjoy rain

  magicrete

Every house is constructed with the best care and materials, although, sometimes this could go wrong and leave you worrying on a rainy day. Come monsoon and the trouble of water seepage begins. This could lead to a major damage in the walls of your home and destroy the beauty of it. In the long term, it could become difficult to cover the damage done by water seepage into your walls. Although monsoon is the most awaited period in the year, it brings a lot of trouble if the structure of the house is not checked in advance. If you go through the same trouble year after year, we advise you to use water resistant AAC blocks and enjoy the rain without any stress.

AAC blocks are light in weight and made from lime, sand, cement and water. They are easy to work around with and much lighter than bricks, which makes your building lighter by reducing the amount of steel and concrete. They also do not consume a large amount of electricity and are easy to transport. One of the biggest advantages of AAC blocks is that water does not penetrate through the blocks. Microscopic structure of AAC block does not allow for capillary action, making it impervious to water. Its water barrier properties are further enhanced by adding silicone based additives. In contrast, water does penetrate through the red clay brick which could cause trouble to your building in the long term.

AAC blocks are a developing product across many Countries, the environment friendly construction material results in the strong thermal insulation of the walls. It is resistant to earthquakes and are manufactured using European innovation. The blocks are highly recommended for use in high rise buildings due to the light weight and the ease of transportation. These blocks are designed with special care that ensure no seepage of water or damage to the walls. If you have had difficulties in the months of monsoon, it is highly recommended that you use the AAC blocks for the construction of your home or office. Using the right materials will not only ensure longevity, but also ensure that you face no troubles in any weather. AAC blocks can be used in all types of structures- residential buildings, commercial complexes, offices, hospitals and hotels, educational institutes, industrial buildings and infrastructures.

The blocks are fire resistant and have a porous structure, which makes it ideal for your use. It consists of macro pores that are evenly distributed throughout the material, this is the reason that the absorption of water in the material is minimal. In the case of an earthquake, the blocks will provide complete safety to the entire building. AAC blocks are considered ideal for the construction of high rise buildings, they provide complete safety and security from any form of damage. If you are building a house or refurbishing your house, make sure that you use AAC blocks and remain stress free during the months of monsoon.

Enjoy the rainy season without any worries!

Impact of GST on Construction Materials and Services

Effective as on 1st July 2017, all sectors have to pay Goods and Service Tax (GST) in India. The proposed GST is expected to do wonders by reducing the overlapping tax burden in India. In the previous article, insight on the effect of GST on real estate sector was discussed. This article throws light on the GST rate for constructing materials including sand, AAC blocks, bricks, cement, wires, paints, iron, steel and other materials.

 

 

Bifurcation of Construction Materials GST Rate

 

Find the table below with GST rates based on the percentage.

 

5% 12% 18% 28% 12-18% 18-28%
River Sand AAC Blocks Steel Cement Marble and Granite Tiles
Crush Sand Fly Ash Bricks Cement Block Glass CP Fittings
Aggregate GI Fittings Wire and Cable Aluminium Windows
Stone Key Locks Paint and Varnish
Red Bricks Sanitary Fittings
Shahabad Wallpapers
Wooden Door and Window

 

The GST for building materials ranges between 5% and 28%. The Harmonized System Nomenclature (HSN) code decides the GST for various materials. Source

 

Comparison with Contractor Service Fees and Building Material Price – Before and After GST

 

Before GST, the indirect tax regime, contractor service charge covers three types of taxable actions:

  1. Goods supply
  2. Services
  3. Manufacturing

 

Goods supply falls under VAT; Services comes under the service tax. Central excise duty charges for manufacturing new products during the construction work.

 

According to Mr. Sanjay Garg, KPMG partner (indirect tax), the implementation of GST in India provides the long awaited generalization of the indirect tax structure. Contractor works (Work Contracts) is considered only as a service. The cost of raw materials procured will come down due to the Input Tax Credit (ITC) facility.

 

The cash constituent of the building construction economy will reduce due to the execution of GST in India. To avail ITC, contractors must purchase raw materials from GST-registered vendors, resulting in better tax compliance.

 

For Instance: Few supplies including steel will be at the lower end in cost as per the GST regime. Coal, the raw material required to make steel falls under 5% GST. Before the GST implementation, the percentage was as high as 11.5%. Source

 

If the contractor provides only services, will there be a tax on service fees?

 

This clearly states that the works contract with effect to the GST regime comes under service. The tax would be levied accordingly, and not as supplies, partial supplies, and partial services.

 

GST has considered the works contract as a service. No longer will any confusion arise of the supply of goods.

 

Before GST, different states followed different methods for VAT. The complex Service tax was 60% abatement on new works and 30% reduction on repair contracts.

 

GST offers a great relief and solves those confusions with a simple calculation. GST has not described reduction and composition.

 

Under GST, the work contract is considered as a service, and hence, the composition scheme is not available. Contractor’s compliances and costs will increase as they will follow the standard taxation system. Source

 

GST confirmation on works contract as a service has brought clarity. But the lack of details in the areas of input tax credit (ITC) and composition schemes will lead to disputes.

 

Magicrete Building Solutions, based in Surat, is a leading manufacturer, and supplier of AAC blocks. Being a pioneer in green building materials, with two manufacturing units in Gujarat and Haryana, it has crossed a turnover of Rupees 5 billion. A trusted partner in the construction industry since 2008, it is all set to face the GST and still make raw materials affordable to its clients.

GST Effect on House Construction

GST Effect on House Construction

image1

 

Building one’s own home is almost every individual’s dream and it requires both planning as well as courage. While, deciding upon getting a home loan is the most crucial step, understanding how it works or will work in the coming months is even more important. If you are building a home with an alluring image in mind, the first thing that anyone asks is, ‘Will GST affect home construction?’. So, will it affect home construction and real estate sector in general?

 

The GST Council has moved the real estate sector under the GST boundaries, only partially that too via works contracts. So that means, in a simple statement, that these will be at 12 percent slab with GST in action. With that in mind, it is worth mentioning that a homebuyer has to pay various indirect taxes, including excise duty, VAT, and service tax, which sums up to a tax of about 11 percent, excluding stamp duty. (Taxes have been fetched from Source 1 & Source 2)

 

Who pays what, and how much?

  • Under-construction real estate properties will be tabulated as the supply of services and hence will be liable to pay GST.
  • Sale of land and completed real estate properties are exempted from GST.
  • As per ICRA note, GST for real estate can be either 18 percent or 12 percent.
  • If the construction of buildings predetermined for sale to a buyer includes land in the sale value, the payable GST will be 12 percent.
  • If the land and construction values are defined through separate agreements, the payable GST will be 18 percent.

 

What gets consumed, what remains intact?

  • VAT (value added tax) and service tax that is currently a part of costs of under-construction properties, will be subsumed by GST.
  • No change will be seen in the stamp duty and registration charges for land, completed properties, and under construction properties. GST is not expected to subsume stamp duty and registration charges.

 

According to Mr. Jain, ICRA, the GST rates are higher than the current tax modules and tax rates for the individual buyer, in most of the states, but the seemingly higher GST rates should get balanced out if the developers pass on the perk of higher ITC (Input Tax Credit) available to them. In simple words, the developers are expected to pass the amount they earn as tax (ITC), in order to reduce the overall impact of high GST rates. He also added that, at the moment, a few indirect taxes paid by the developer, like CST on materials used for construction and excise duty aren’t taken into view as input. With GST in picture, the taxes at each level will be lowered as compared to proposed GST rates, which is expected to lower the total project cost in the near future.

 

Real estate has always been that one sector, where price control always seems out of hand. Many dreams of building a home get shattered with this unexpectedly high cost of the home construction, and yet developers keep complaining about their own problems in managing all this. This also results into late home constructions, in fact very very late. GST in real estate is a ray of hope in the direction of affordable housing scheme by the government, and it is expected to benefit both the buyer as well as the developer. The developer will have to invest less (with reduced levels of taxes), and hence buyer will pay less (due to less taxes being paid by the developer).