Block Making: Easing Procurement, creating jobs

• Profit Is Reasonable

Owning a home is the dream of many, since shelter is one of the basic necessities of life. However, despite the various public and private housing estates springing up in different parts of the country, creating opportunities for individuals to own houses, possessing one is still beyond the reach of many.

Block-making industries came into being to satisfy the needs of those who desire to own houses. Some astute businessmen are into small-scale block processing to provide different sizes of concrete blocks for builders.

Seyi Akinrunmi of Akins Concretes, Lagos, said block-making business is the answer to immediate concrete blocks needs of builders. He explained that it proffers a quick solution and saves builders the inconveniences of having to procure sand, water and labour to mould at sites, especially when such are terrains, where water is hard to come by.

On the complaint that some block-making factories use substandard materials, he said no shrewd businessman would intentionally use low-quality sand and cement to mould blocks, as such act will gradually kill the business. Should that happens, however, he said there are ways of detecting and checking the quality of blocks before buying or while using them.

“Some of the ways include, immersing one or two blocks in a drum of water for about four to five hours, after which they are forcefully pulled out. If in the process the blocks break into pieces, it means they are of low quality,” he said. “A high-quality block should be able to stand in water for long without breaking. Another way is to check the thickness and porosity. You stand on them and if they break in the process, then you know there is something wrong with the quality of the sand/cement mixture or that the right sand was not used. When one builds with low quality blocks, there is the likelihood that the house or fence would not last long before collapsing.”

From these block firms, one could procure ready-made blocks or require that they mould to one’s specifications.

“Depending on how fast the individual wants completion of work or his/her financial status, block workers are capable of meeting anyone’s needs satisfactorily. And whatever the option, I should say there is a huge advantage in buying block than moulding yours. This is because you would be sure of the quality and the financial difference is not that much,” he explained.

Taiwo Hassan of Tay Blocks, also in Lagos, said he is motivated to stay in the business because of the fulfillment he derives from seeing people build their own houses, while he “also makes money in the process.” He explained that the business is lucrative and brings in steady income.

“I sometimes make more than a N1m a month,” he said. “But now that the rains are here, I make between N300, 000 and N400, 000 on the average. During the dry season, the income rises because people capitalise on the weather to hasten completion. Once one is well established, the business can easily make the individual a millionaire within a short time.

“Aside making blocks, I also make and sell concrete poles, rings for deep wells and interlocking bricks for floors and walls. All these rake in different amounts daily, notwithstanding that the rains are here.”

Although block-making business is quite lucrative, like any other venture, it requires learning the rudiments and the willingness to give what it takes to succeed. Hassan said a new entrant requires some months to study and understand soil types, their quality, alkaline content, as well as the different cements and their uses. He/she needs to also understand that there are hard and soft water; the three types of blocks and the moulders. Aside technical skills, it is also important to know the managerial and marketing aspects.

“There are times we give loans to builders and even individuals, but these are people whose integrity is not in doubt,” he said. “We spread the payment with added little interest across the month. Through this, you have a good grasp of the market, as well as make steady money, as if one is on a monthly salary.”

How much does it take to start the business? Hassan said N200, 000 to N300, 000 would be enough for anybody to start small. According to him, starting small and growing with the business is the best way to go.

“As new moulders are introduced into the business and cement companies keep coming up with different recommendations on how to use their products, block moulders are also learning and coming out with fanciful designs, as can be currently seen in the market.

“With N200, 000 or N300, 000, one can start the business on a rented piece of land that if one does not have personal land. It is important to ensure that the land is spacious enough to accommodate lots of blocks and the equipment.”

Michael Adolo of Mickey Blocks, Iju, Ogun State, said the land must either be by a busy road to attract patronage or in developing areas, where people are building houses. One of the advantages in this is accessibility. Clients, who want to buy would appreciate the convenience of being able to drive to the industry.

“After acquiring the land, a moulder or vibrating machine comes next. A locally fabricated manual moulder goes for between N10, 000 and N15, 000,” Adolo explained. “It can also be got on rent forN200 to N500 per day, depending on location and type. However, a locally fabricated vibrating machine goes for about N100, 000 or N150, 000. Alongside the vibrating machine, you also need a diesel Lister generator to power it. This produces stronger blocks than the manual moulder and is faster.

“Other items such as wheel barrow, shovels and labour are not so hard to procure. Block making business is one that could be undertaken, even by the roadside, as it requires minimal capital, while the profit margin is beyond imagination,” he said.

Breaking down the details, Adolo explained that he gets between 50-55 (6 inches), 35- 40 (9 inches) and, 60-65 (four inches) blocks from a bag of cement. Since the sizes differ, so do their prices. According to him, sixinches block cost between N120 and N150, while the nine inches can be got for between N140 and N180 and the four inches for between N100 and N120, depending on location.

He said his daily take home is between N25, 000 and N30, 000 after deducting money for labour and water.

“I have about 10 workers, including loaders and those involved in moulding,” he said. “I use about 40 bags a day, but I produce more of six and nine inches blocks than the four inches, because they are in high demand and their prices fluctuate. Their prices rise and fall, just like that of cement. Some builders use the nine inches for laying the foundation of a building, as well as constructing pillars, while the six inches blocks are used for the finishing; they are laid on top of the nine inches blocks.

“The business is very viable and lucrative, especially with the introduction of interlocking blocks, which some contractors use for flooring and sometimes for road construction.”

On some of the challenges faced in the business, Adolo said being able to distinguish between low and high-quality cement tops the list. He added that this is further made difficult, when both come in similar bags, company names and colour. To tackle this, he explained that he gets his supplies directly from a company’s authorised dealers. Land is also a big issue, as it could constitute a limiting factor, especially to new entrants during rainy season.

What It Takes To Excel In Block Making Business
• Label your products, as this connotes assurance and advertisement.
• Use quality materials for moulding your products.
• Acquire a truck to deliver products to the clients.
• Pay labourers appropriately and according to bags of cement used.
• Minimise breakages, loses clients.
• Keep materials, especially cement and sand away from rain and moisture.