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Setting of

Watering plant

Water Supply
Government of Gujarat

Project Concept 3
Market Potential 5
Growth Drivers 7
Gujarat – Competitive Advantage 8
Project Information 10
- Location/ Size
- Infrastructure Availability/ Connectivity
- Raw Material/ Manpower
- Key Players/ Potential collaboration opportunities
- Project structure/Key Considerations
Project Financials 15
Approvals & Incentives 17
Key Department Contacts 18

Page 2
Project Concept

Bottling / Packaged Drinking water plant

 In a bottling water plant drinking water and beverages are prepared for sale and distribution in
a specific geographic region.
 Packaged bottled water industry is segmented into two parts; Packaged drinking water and
Natural mineral water.
 Packaged drinking water uses filtration, UV or ozone treatment or reverse osmosis (RO) before
it becomes fit for human consumption and Natural mineral water meets the specified quality
standards without any processing.
 Natural mineral water uses water from underground sources which is packaged close to the
source and meets the specified quality standards without any processing.

Type of Bottled water Sales by packaging in India

 Spring water, has a Tds level

15-20 litres,
of maximum 500 parts per 6%
million (ppm) Pouches, 8%
 Purified water, has a Tds
level of not less than 10 ppm Cups, 10%
1 litre, 42%
 Mineral water, has a Tds
level of not less than 250 ppm
 Natural mineral water, 2 litres, 14%
contains same amount of Co2
before and after the treatment 500ml, 20% Source: Market Reports on India

Packaged bottled drinking water convert the infected water into a treated water through a
process that involves filtration, UV or ozone treatment or reverse osmosis (RO).

 Increasing population, industrialization and demand

for fresh water are the driving factors for India’s
bottled water market over the past few years.
 Bottling companies are aiming to capture all the
different packaging segments of bottled water market.
More demand for bulk water and water cups is
coming from many corporate events and social
 In India, contaminated water continues to be an issue
and cause diseases such as diarrhoea, dysentery,
typhoid, jaundice and gastroenteritis. As a result; the
usage of bottled water has become even more
important and significant.

Page 3
Project Concept

Water bottling process

As a first step raw water is chlorinated with Dosing pump. This chlorinated water is then covert to
de-chlorinated water to softened water to treated water and finally to purified mineral water with the
help of different filters, RO unit and U.V system. The purified water then gets packed into bottled
water after testing.

Raw Water (Bore well)


Raw water Tank


Dosing System

Pressure and Filter

Activated Carbon Filter

Water purification/filtration

Micron Cartridge Filter

High Pressure Pump

Reverse Osmosis System

Ozone Generator with Re-circulation System

Final Product Storage Tank

U.V. System

Filling and Packaging

Packaging and


g and
Storage and Testing

Sealing & Capping M/C

Page 4
Market Potential
Key metrics…
Water demand across India,
(billion cubic metre) 230 cubic km of groundwater is
1,093 drawn by India per year

Water 813
demand 40% water losses out of total
on the distributed water, highest in world
rise in 688 910
India 33% expected rise in Indian
2010 2025 population, from 1.2 billion in 2015
to 1.6 billion by 2030
Others Drinking Water Industry Irrigation
Source: Standing Committee of Ministry of Water Resources

 Low water production/household is

becoming a big challenge and the demand
Total water
supply gap is expected to rise at a faster
production 94.7
(billion cubic
meter)  225 million people in India do not have
2012 2019 access to safe drinking water.
Total water  More than 66 million Indians are at risk due
Household 1,032 933 to excess fluoride
(litre/day) The shortage of safe drinking water makes
bottled drinking water the automatic choice for
Source: Business Monitoring Intelligence (BMI) consumers

Bottled water market is preferred over water purifiers as bottled drinking water plant
require hassle free setup and have less capex involved.
 Indian bottled water market is divided into two parts:
Market share of retail water bottle
on-traded (bars, restaurants) and off-traded
segment in India (%)
(retail) business
 Parle Bisleri Ltd maintains its lead with 26% of the off-
traded value share in Indian bottled water market. 28
The company has plans to set up new plants to reach 33
new markets.
 Bottled water market faces high level of competition
from various regional players. The effective 4
distribution plays an important role in overall sale.
13 17
 State governments have also planned many launches
in their respective states such as West Bengal, Public
Bisleri PepsiCo Coca-Cola
Health Engineering Dept. launched the packaged
water brand “Pran Dhara” in August 2015. Dhariwal Ind UB group Others
Source: Yahoo finance

Page 5
Market Potential

Global and Indian scenario

Global total bottled waterr

off-traded volume
INR60.8 billion
(in million litres) Ind
Indian off-traded bottled
265.8 water market value in 2016

Y-o increase in bottled
water value for off-traded
2010 2015 value in 2016
Source: Euro monitor

20.2% CAGR
The total global off traded volume is a combined volume of still Volume growth is
bottled water, Functional, Flavored and Carbonated bottled forecasted in off traded
water with still bottled water having the maximum share. bottled water business
between 2015 to 2020.

Bottled water sales by value and volume are on the rise in India and are expected to
further grow in future

Packaged bottled water Industry Bottled water sales to institutional

in India(INR billion) channels in India
(2010-2015, million liters)

60 5,722.2

2013 2018 2011 2012 2013 2014 2015

Source: Business Standard
Source: Euro monitor

According to Bureau of Indian Standards (BIS), there are 1200 bottling plants (out of which
600 are in the state of TamilNadu) and 200 brands of packed drinking water across the

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Growth Drivers
Gujarat, one of the leading state in terms of economic growth and industrialization, has
accounts for 40% of the total market share of Bottled water market

Water demand (billion …however per capita availability of

cubic metre) in Gujarat is water (in billion cubic metre/annum)
expected to rise… is decreasing
Rising water 57
demand 0.8
35 0.6
supply gap in

2010 2050 2001 2011 2015 2025

Source: CII- Tata strategic management group report Source: Status of Environment & Related Issues - Gujarat

70% of Gujarat's fresh water resources are located only in 30% of its
Uneven water geographical area. The total available water resources of the state is
distribution ~55608 MCM, out of which, utilizable surface water in the state is only
38100 MCM.

Nearly 50% of the Gujarat population lives in urban areas in comparison

Urbanization to around 30% Indian average. And with increasing industrialization and
of Gujarat rising investments in the state people started preferring bottled water
than the other source of water.

High water
borne Number of deaths due to water-borne diseases were around 1465
in2015 due to presence of contamination and unsafe drinking water

 85% of the available water has high pollution level

Low quality  Of 26 districts in the state, 20 are severely affected by salinity, 18
standards are affected by fluoride, 17 are affected by chloride

 Gujarat government has launched the “Water for Future” project for
INR200 crore with Coca-Cola for package water which is expected to
Government increases the efficiency by 30%. It also helped to reduce treated
initiatives effluent discharge.
 A strong talent pool of scientists and engineers with setting up of
national research laboratories, centres of academic excellence in

Rise in health awareness and increase in tourist inflow are also boosting the per capita
consumption of bottled drinking water in Gujarat

Page 7
Project Information

India Leading Players

Company Business Offerings
Bisleri, Vedica, Bisleri Soda, Urzza, Bisleri Pop, Additional
Bisleri Mumbai
PepsiCo India Gurgaon Food and beverage portfolio that includes Frito-Lay,
(Aquafina) (Haryana) Gatorade, Pepsi-Cola, Quaker and Tropicana
Himalayan (Tata Gurgaon
Natural Mineral water
Global Beverages) (Haryana)
Beverages (Fruit drinks, Nectars, Sparkling drinks and
Parle-Agro (Bailey) Mumbai Carbonated soft drink), Packaged Drinking Water, Foods
and PET Preforms
Dhariwal (Oxyrich) Pune Packaged drinking water
Gurgaon Bonaqua packaged drinking water, Kinley Club Soda and
Coca Cola (Kinley)
(Haryana) BURN energy drink.
Tata Global
Beverages (Tata Hyderabad Nutrient water contains nutrients, such as copper and zinc
water plus)
Kingfisher Mineral
Karnataka Mineral water bottle
Railneer (IRCTC) New Delhi Bottled water
Qua Mumbai Mineral bottled water

The top 5 players in Indian packaged bottled market are Bisleri, PepsiCo, Coca-Cola, Parle and
Dhariwal with 67% market share of the sector .

Gujarat Leading Players

Gujarat companies Gujarat manufacturers

Gujarat Ion Exchange and chemicals
Shreeji Projects

Dhariwal Industries Ltd Aquaion Technology Inc.

Bisleri (Gujarat unit) Ocean Techno

Potential Collaboration

 Potential collaboration opportunity with Indian Centre for Plastic in the Environment (ICPE)
for PET plastic bottle collection drive

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Gujarat - Competitive
Over the years, Gujarat has emerged as one of the front running states in
adopting bottled water for water sourcing and many private and technological
players have entered the Gujarat market for bottled water.

 First state to address the water waste issue

and brought treatment, stabilization and
disposal facility for cluster of industries.
 Gujarat provides 100 litre daily rural water
supply per head against the country average of
55 litres
 Gujarat is one of state in which local players
from bottled water market are giving
competition to the established player.
 Located on the west coast of India, Gujarat is
well connected to the major cities of the world
by air and sea routes. This eases the
knowledge and technology transfer capabilities

Gujarat governments' initiatives to flourish the water market

5 major cities including 40% of the total Indian bottled water

Ahmedabad, Gandhinagar, Surat,
market is from Gujarat where many local and
Vadodara and Rajkot has the maximum
private companies has catered the market.
market share in bottled water market

more than 300 local and private Among top 5 states in India in
companies for packaging water pouches terms of water storage capacity per unit
and bottles in the state. land area

Policy Initiatives
 Bureau of Indian Standards has established bottled water plant standards for the Indian bottled
drinking water and every bottled drinking water plant are mandated to follow the standards.
 Gujarat pollution control board carries out Ambient Air Quality Monitoring programme to
monitor ambient air quality and water quality.

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Gujarat - Competitive
Ease of Doing Business: Only state which comply
100% with environmental procedures. Gujarat fares
highly when it comes to setting up a business, allotment “Gujarat ranked
of land and obtaining a construction permit first in ease of
doing business
per DIPP report
Key industries: Gujarat is the leader in key industrial
sectors such as chemical, petrochemical, auto and its
allied sector, pharmaceuticals, engineering, textile,
jewellery etc.
 Gujarat has attracted cumulative FDI worth US$12 b
from April 2000 to March 2015
 Gujarat clocked the highest growth rate in
pharmaceuticals market at 22.4% surpassing the
industry growth rate of 10.9%
 Gujarat contributes around 19.1% to India’s total
exports of goods in 2014-15

Gujarat, with 42.6% of its population residing in the urban

areas, is among the top three urbanized states in the

Gujarat is one of the power surplus states in the country,

as a result it helps in bringing huge amount of investment
from the industries and tagged as preferred investment
destination in the country

Skill development industry in the state is well-developed

with many technical institutions (786 ITI’s and
52 Skill upgradation centres)

Page 10
Project Information

Site Location
Setting up of watering plant at Gandhinagar
 The Sabarmati, the Khari and the Meshwo are important rivers of the district. Narmada
canal is the artificial drainage in Gandhinagar.
 Net ground availability in the district is 453 MCM based on 2011 dynamic ground water
• The project details are as follows:

Locations Gandhinagar, Gujarat India

Gandhinagar district is an administrative

division of Gujarat, the state capital. It is well
connected to Ahmedabad by the Sarkhej-
Gandhinagar highway, and with Vadodara by
the Ahmedabad-Vadodara highway.

The total population of Gandhinagar is

206,167 and total area is 2102.24 sq. km

Gandhinagar – geographical coordinates

 Gandhinagar, the capital city of Gujarat, India with geographical coordinates area 23.21°
North, 72.63° East.

Gandhinagar – Temperature

Maximum temperature : 38°C Minimum temperature : 10°C

Page 11
Project Information

Infrastructure availability / connectivity

Air Road

 Gujarat has highest number of  Gandhinagar is well connected with

operating airports in India including district roads, state highways and national
16 Domestic and 1 international highways NH-8.
airport.  Road connectivity increases the efficiency
 Gandhinagar airport is at the for water networks and monitoring
distance of 490 km from the particularly in remote areas.
Ahmedabad airport.


 Port Connectivity is available with  Gujarat State Wide Area Network is the
three ports – Kandla, Mundra & largest IP network in Asia Pacific region
Pipavav from Gandhinagar. and second largest in the world;
connecting 33 districts and 248 talukas
 Gujarat handles around 73% of of Gujarat with Gandhinagar.
India’s non-major port traffic and  IT automation system will help better
around 14% of India’s major port monitoring in Gandhinagar plant.

The State Government ensures robust physical/industrial infrastructure &

utility linkages

 Gujarat has a state wide “water supply grid” spread across

Water 1,20,769 km that aims to serve 75% of the Gujarat’s population.

 Gujarat boasts of 24 hours 3- phase uninterrupted power supply

under the Jyotigram Yojana.
 Gujarat Energy Transmission Corporation Limited (GETCO) Is an
Power electrical power transmission company with total of 1473 no pf
substation for 400 KV , 220 KV, 132 KV and 66 KV system

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Project Financials

Packaged Drinking Water Plant –Capacity 5000 LPH

Equipment‘s/Components Units
Chlorine Dosing Pump 1
SMBS Dosing Pump 1
Raw Water Booster Pump 1
Pressure Sand Filter 1
Activated Carbon Filter 1
Dosing Pump 1
Micron Filtration 3
Reverse Osmosis (Micron Cartridge Filter, High Pressure 1
Pump, RO Housing / Pressure Tube, Reverse Osmosis
Membrane, Control Panel, Conductivity Meter, Low Pressure
Switch, High Pressure Switch, Valves, Cleaning in Place
System, Skid, Inter-connection Pipeline
TDS Control System (Micron Cartridge Filter, Ultra-Violet 1
Storage Tank for Storing Treated Water 1
Feed / Transfer Pump 1
UV Sterilizer Units 1
Ozonisation Unit with Re pressurization Pump 1
Ozone Ventury with Static Mixture 1
Ozonator With O2 Gen. 1
Storage Tank (Final / RO Water ) 1

Pet Bottle Stretch Blow Molding Machine Units

Pet Stretch Blow Molding 1
Air Compressor 1
Compressor Air Dryers & Filters 1
Chiller for Mold cooling 1
Bottle Mold 1

Page 13
Project Financials
Cost structure of developing a water bottling plant in
The water treatment plant is considered of 5000 LPH capacity comprising of complete system with
Pre-treatment, reverse Osmosis Unit and Post Treatment

Packaged Drinking Water Plant –Capacity 5000 LPH

Equipment‘s/Components Total Price (USD)

Mineral Water Plant comprising of complete Treatment Plant 25,384.61

as per Treatment Scheme &
Equipment Schedule (Capacity – 5000 LPH)

1 litre bottle rinsing, filling & capping machine (fully automatic) 18,153.85
Capacity - 40 BPM (2400 BPH)
Ink jet Batch coding machine 3000.00
Pet Stretch Blow Molding Machine -1 QTY Double cavity 8,384.61
(Semi-automatic)(1000-1200 bph)
Compressor for above machine along with chiller 5,923.08
Laboratory equipment's, Chemicals, Medias & Glassware as 5,846.15
per BIS requirements.
BIS Marking + outside lab testing fee+ application charges 7,692.31

Cost for interconnecting (from Plant to Filling Machine) & 3,07,692.31

Recirculation pipe work
Raw water, storage other than specified above, all Civil &
Electrical work, Labours, Tools & tackles, Raw materials 1,53,846.15
,other plumbing works, pumps other than specified above &
Pipe work from final water Tank to filling machines etc.
Land lease rent & development 25,726.71
(464.51 sq.m x 36x100)
Total 5,61,649.78
Note: The financial indicators are subject to assumptions and case sensitive
1 USD - INR 65

Approximate cost for all the equipment/ study is estimated to be around USD 0.6 million

The calculation of total price is based on the primary research and discussion with various vendors. The total price can vary based
on quantity and need of additional equipment's.

Page 14
Project Financials

Project Structure & Implementation Models

Scope of work for government institution

Proposal from Government  Terms for the Sanction of Financial Support by

of Gujarat the Government of Gujarat
 Local Board of Governance to oversee the
implementation and operations of the plant and
project outcomes
ISI certification from Bureau of Indian  Land to be provided by the government
Standards (BIS)  To provide all the approvals to the project
developer such as land and environmental
 Monthly instalment payment to the agency by the
Technical consultant is hired for government on an 1 MLD basis
feasibility studies
Scope of work for industry partner

 Detailed design of the capital works to be

An industry partner to be selected undertaken
through bidding process
 The company or selected bidder shall be
responsible for overall operation and
maintenance of the project and in accordance
Establishment of bottling plant as per with the long-term procurement between the
contract terms Concessionaire and the Authority
 Identifying and tendering out the construction and
mechanical equipment activities such as RO
Industry partner to operated the plant membranes, automation and control system etc.
for fixed amount of time as per  Executing the complete construction and to
contract terms ensure 100% individual house service
connections in the demonstration zones

Key considerations
 The quantity of Packaged Drinking Water  System is designed to produce water as
Project available for purchase depends on per International Bottled Water Association
plant capacity, the operator’s commitments (IBWA), Bureau of Indian Standards (BIS)
to other purchasers, and several other and US Drinking Water Act (USDWA).
factors, including price, reliability concerns  A degree of technical skill for selection of
and risk tolerance. process conditions and adhesive/resins
 Maintenance must be done on regular basis  Reduction in Start-up and Operating
 The industry partner not to grant any third Wastages
party to obtain any entitlement to the  Uninterrupted Power supply
Product water supplied by the facility
Page 15
Project Information

Manpower requirement
Responsibility Number
General Manager 1
Secretary and Accountant 2
Production & Technic 2
Sales man 5
Quality Control and Supervisor 4
Operators 6
Bottle Inspectors 2
Forklift Operators 2
Electrician and Mechanics 2
Store keepers 2
Store Labourers 5
Guards 2
Total 35

Components by Government

Storage Tank Testing Lab Plant land

Provided by Private player

Water Booster Pump Multi Media Filter Dosing Pump

Sand Filters
Micron Filtration Reverse Osmosis

Page 16
Approvals / Incentives

Approvals Required
Packaged water market in India is regulated and it is compulsory for all the manufacturers who
intend to set up processing units, to obtain the ISI mark from the Bureau of India Standards.
Packaged Natural Mineral Water is governed under IS:13428 and Packaged Drinking Water
governed under IS:14543.
• Small scale industries registration
• ISI certification from Bureau of Indian Standards (BIS)
• Pollution control certificate
• Water test report from an authorized laboratory of raw water
• Pest control certification
• Certificates from chemist, microbiologist
• Medical certificates for workers
• No objection certificate (NOC) from Gram Panchayat, if applicable
• Registration of trademark
• Documents related to ownership of land/lease of land for setting up the plant
• Memorandum of association of companies/partnership deed, if applicable.
• Electrical load sanction
• Sanction layout plan

Incentives from Government of Gujarat

1 Bureau of Indian Standards (BIU) has published two Indian Standards for Packaged Drinking
Water is IS14543 and for Packaged Natural Mineral Water is IS13428. It describes
specifications and hygiene requirements to set up a bottling plant in India. Any plant in Gujarat
also has to follow the standard specification and plant need the licence from BIU.
Financial assistance for skill development centres, for technology acquisition and also for
supporting energy and water conservation as well as for environmental compliance.

Tax holidays: The benefits of tax holidays as provided under Section 80 (I) (A) of the Income Tax
Act for development, operation and maintenance of power plants, airports, ports, waste
management facilities, water treatment plants, etc. is available to the developer.
Gujarat Infrastructure Development Board (GIDB) in their vision BG:2020 facilitate the
government regarding water issues and also to plan the future requirements.
Gujarat industrial policy 2015, MSME provides interest subsidiary of 5% with maximum amount
of 25 lakhs for 5 years in Municipal area and 7% with 30 lakhs for the other areas.

Page 17
Gujarat Water Supply & Sewerage Board

Gujarat Pollution Control Board, Government of Gujarat
Gujarat Water Infrastructure Limited

Gujarat Infrastructure Development Board

Gujarat Industrial Development Corporation
Gujarat Water Resources Development Corporation

This project profile is based on preliminary study to facilitate prospective entrepreneurs to assess a prima facie scope.
It is, however, advisable to get a detailed feasibility study prepared before taking a final investment decision.

Gujarat Water Supply Sewerage Board

"Jal Seva Bhavan"
Opp. Air Force Station,
Sector - 10A, Gandhinagar – 382010
Office : +91-79-23251050, 23220857
E-mail :