India is the most attractive water markets in the world

India has 16 percent of the world's population, 2.5 percent of the land mass and 4 percent of the world's water resources. These limited water resources are depleting rapidly while the demands on them are increasing. Drinking water supplies in many parts of India are intermittent. Transmission and distribution networks for water are generally old and badly maintained, and as a result, are deteriorating. India is one of the biggest and most attractive water markets in the world. The boom time for Indian bottled water industry is to continue- more so because the economics are sound, the bottom line is fat and the Indian government hardly cares for what happens to the nation's water resources.

Estimates reveal that by 2020, India's demand for water will exceed all sources of supply. Notwithstanding the catastrophic consequences of indiscriminate pumping of groundwater, government actions - including the provision of free power - have exacerbated rather than addressed the problem.In just 50 years a water-rich nation has been reduced to a water-insecure one. By 2025, the per capita availability of water is likely to slip below the critical mark of 1,000 cubic meters. Growing urban populations in India have made existing capacities of water treatment, waste water treatment and recycling inadequate. The country has introduced more stringent pollution control, which is rendering many existing technologies obsolete. The major water management areas are desalination, water resource management, water supply, municipal water management and/or wastewater treatment and reclamation

Heavy Investments needed in Water infrastructure

There is clearly an urgent need for action. First, India needs a lot more water infrastructure. Compared to other semi-arid countries, India can store relatively small quantities of its fickle rainfall. Whereas India's dams can store only 200 cu.m.of water per person, other middle-income countries like China, South Africa, and Mexico can store about 1000 cu.m. per capita. New infrastructure needs to be built especially in underserved areas such as the water-rich northeast of the country where investments can transform water from a curse to a blessing. The country needs to invest in water infrastructure at all levels - from large multipurpose water projects to small community watershed management and rainwater harvesting projects.
ASSOCHAM also points out that treating land is expensive as it costs around $178 to $223 per hectare as something of the order of 80 million hectares of land in India needs treatment which alone would require an investment of $1.8 billion.

The government is increasingly dependent on aid for water infrastructure projects from institutions like the World Bank. As liberalization and free markets are the guiding principles of these agencies, they are pushing full cost recovery and reduced public control. This is shifting the flashpoint for water conflicts from agrarian basins and rural areas to the cities, where the battle is on for the control and management of municipal water supplies.
MNC manufacturers of water and wastewater treatment equipment either have a presence in India or have ensured that their products are easily available in India now. Canadian companies are eyeing the Indian water market keenly. Canada's companies have expertise in disinfection, non-chemical treatment, membrane technology and clean environment technologies. They are also strong in lake water management and municipal water supply systems. The Netherlands has technical leadership in activated carbon treatment technology, membrane technology and wastewater treatment.

100% of the funds as grants

The Indian government's Jawaharlal Nehru National Urban Renewal Mission (JNNURM) seeks to promote 24x7 potable water, which is virtually non-existent in India, as well as water recycling of at least 25 percent for non-domestic uses such as construction, cooling towers, gardening and toilet flushing.JNNURM is willing to provide 100 percent of necessary funds as grants for many of these projects. The major companies operating in water management space in India are Jain irrigation with Israel’s Mekorot,.

Corporate control over water

India is the tenth largest bottled water consumer in the world. Today it is one of India's fastest growing industrial sectors.Corporate control over water and water distribution in India is growing rapidly: the packaged water business is worth $250 million, and it's growing at a huge 40-50% annually. Around 1,200 bottling plants and 250 brands of packaged water across the country are battling over the market, overdrawing groundwater, and robbing local communities of their water resources and livelihoods.

Branded water companies:

Indian bottled water market is valued at more than $250 million and is growing at a rate of 60 per cent. According to a national-level study, there are more than 250 bottled water brands in India. Nearly 80 per cent of these are local brands. Despite the large number of small producers, this industry is dominated by the big players - Parle Bisleri, Coca-Cola, PepsiCo, Parle Agro, Mohan Meakins, SKN Breweries and so on. Parle was the first major Indian company to enter the bottled water market in the country when it introduced Bisleri in India 25 years ago.
Premium natural mineral water includes brands such as Evian, San Pelligrino and Perrier, which are imported and priced between $2 - 2.5 a litre. Natural mineral water, with brands such as Himalayan and Catch, is priced around 40 cents a liter.