New Delhi, Japan-based water treatment solutions provider Daiki Axis Co. Ltd will invest about *₹200 Crore* to set up its third manufacturing plant in India, marking a major expansion in the country’s sustainable water treatment sector.
In an exclusive conversation with Uknationews KC Pandey, Director, Daiki Axis India revealed that the investment is indicative of the company’s long-term faith in India’s growth story and the rising demand for decentralized water and sewage treatment systems in India. He added : “India is no longer just a market for Daiki Axis. It has become a manufacturing and strategic hub for us. The response we have received in the last few years has been very encouraging. Urbanization, stricter environmental compliance, and the government’s focus on clean water and sanitation have all created a huge opportunity for technologies like ours,” Pandey told during the interview
He said the decision to invest ₹200 Crore in a new plant comes after the successful operations of the company’s first two facilities in India.
According to him, those plants helped Daiki Axis understand Indian conditions, customer requirements and supply chain challenges. Giving details of the third plant Pandey said : “With the third plant, we want to go for deeper localization. A larger part of our components will now be sourced from India. This will help us reduce costs, improve delivery timelines and also build a vendor ecosystem around us,” Pandey explained.
He added that the new facility will also generate direct and indirect employment and will play a key role in the company’s “Make in India” push.
He did not reveal the exact location but said 2-3 states are under consideration based on logistics, market demand and ease of doing business. “We want to be closer to our core markets in the North, West and South. The final announcement will be made soon,” he said.
A major part of the discussion was based on the relevance of Daiki Axis technology for India, especially for hilly and rural areas.
Pandey said the company’s flagship product, the Johkasou compact sewage treatment system, was developed in Japan over 60 years ago and is now being adapted for Indian conditions. “In metro cities Indua have the problem of sewage overload. But in places like Uttarakhand, Himachal and in rural India, laying large centralized sewer networks is neither feasible nor cost effective. Our Johkasou units are underground, compact, and treat sewage at the source itself. They consume very little electricity and require minimal maintenance. That makes them ideal for apartments, schools, hospitals, hotels, panchayats and even remote tourism projects,” Pandey told Uknationews.
He added that with tourism growing rapidly in the Himalayan region, hotels and resorts are under increasing pressure to manage waste responsibly and the company has already executed projects in this region with good feedback.
When asked about the future possibilities of capturing wide market in India – Pandey said the sustainable water treatment sector in India is at a turning point. “Earlier, water treatment was looked at only as a cost. Today it is seen as a necessity and also as part of ESG and compliance goals. Real estate developers, industries, educational institutions and government agencies are all looking for solutions that are sustainable and meet regulatory norms,” he said.
He added that government initiatives like Namami Gange, AMRUT 2.0 and Swachh Bharat have created a policy environment where decentralized treatment is now being taken seriously. Daiki Axis is also working with state governments and on CSR-based public projects to expand its reach.
On pricing and competition, Pandey was clear that localization is the key. “People assume Japanese technology is expensive. But because we are manufacturing in India and localizing components, we are able to offer Japanese quality at Indian pricing. That is exactly why we are investing ₹200 Crore. It is to scale up and make the technology accessible to a larger number of people,” he said. He also stressed on after-sales service. “In this sector, service is as important as the product. We are building a network of trained technicians and engineers so that even in a remote district, a customer gets support within 24 to 48 hours,” Pandey added.
Pandey further said the company will also focus on training and skill development. “We need people who understand decentralized treatment. So we are working on training programs for engineers, contractors and operators. That will also create jobs at the local level,” he said.
Wrapping up the conversation, Pandey said India is now Daiki Axis’s second home market. “This ₹200 Crore investment is the beginning of our next phase of growth. In the next 3 to 5 years, our goal is to be present in every state and to work with both government and private partners to ensure clean water and proper sewage management,” he told me. With water stress, pollution and urban expansion becoming bigger challenges, the expansion of companies like Daiki Axis is expected to play an important role in how India manages its water resources in the coming decade said Pandey with immense confidence.
