Global plumbing and water management solutions major Aliaxis has identified India as its "most realistic growth market" worldwide and is stepping up investments to expand its footprint beyond its stronghold in South India, its Global Managing Director Thierry Vanlancker said on Wednesday.
With a global turnover of about 4 billion Euros, the privately held Belgium-based group counts India as its second-largest market after the US.
While the US contributes nearly 20% of Aliaxis' global revenue, India accounts for about 15%, underscoring the country's rising strategic importance in the company's global portfolio.
31 October 2025
Get the latest issue of Outlook Business
Aliaxis operates in India through its wholly owned Ashirvad brand, which holds what Vanlancker described as a "very, very strong number one position in the whole southern corner of India".
"The US market is probably 30% bigger than India, but India is clearly the most realistic growth market for us globally," Vanlancker told PTI during an interaction.
Vanlancker, the entire Aliaxis Global Executive Committee, and Ashirvad Managing Director Partha Basu were in the city on Wednesday to inaugurate a series of infrastructure and distribution projects, including the first Integrated Distribution Centre in Eastern India at Panchla in Howrah and an upgraded compounding facility at its existing Durgapur plant.
The company plans to expand aggressively across the East, where it currently ranks second, and has committed around ₹50 crore along with its partners in manufacturing and a third-party-managed distribution hub.
"The East is the most attractive region to expand in," he said.
The company aims to grow at "market plus", targeting expansion above the 5% annual increase expected in the pipes and fittings segment. But Vanlancker stressed that the company will not chase market share at the cost of profitability.
"What we do not want to do is buy market share," he said. "We rely on investments, innovation and quality products to maintain the bottom line as we are here with a long-term view." A significant part of the capital budget is flowing into India for two large projects - the eastern expansion centred around the existing manufacturing plant at Durgapur and the upcoming greenfield Hyderabad plant, expected to go live by mid-next year.
On Durgapur, Vanlancker clarified that the current investment is aimed at self-sufficiency or backward integration rather than expanding output capacity.
"This expansion is not to expand capacity but to make it much more self-sufficient in inputs locally instead of shipping them from Bangalore," he said.
A second phase, adding pipe extrusion lines, is expected in near future, paving the way for a "modest 10% capacity increase over the next two to three years".
The Howrah site will also house a new state-of-the-art distribution centre, the company's second after Ahmedabad. Aliaxis plans a network of five centralised warehouses. The company has three now such integrated distribution centres.
On the Jal Jeevan Mission, which has seen delays, Ashirvad MD Partha Basu said funding constraints may persist into 2025 but the outlook improves thereafter.
"In our view, 2026 should be a much better year," he said.
Ashirvad has already been empanelled for Oriented Polyvinyl Chloride (OPVC) pipe projects in four states and is targeting expansion to get engaged with 16 states.
Globally, the parent company is navigating a slowdown in its largest markets. The US market which historically grew 3% annually is expected to remain "rather flat" this year due to interest rate pressure on housing and plumbing demand. Europe, too, has been slow amid lower housing starts and delayed infrastructure renewal following the Russia-Ukraine conflict.
Vanlancker said listing the family-owned group is not on the agenda currently, though he did not rule out whether the promoters may choose to list in the future.
In India, retail remains the core of the business, contributing about 80% of revenue, with the remaining 20% coming from enterprise and government-linked orders.
