As geopolitical tensions simmer across West Asia, concerns over supply chains, infrastructure resilience and project execution have come sharply into focus for companies with a significant presence in the region. For water technology firms, the stakes are particularly high, given the critical nature of desalination and wastewater treatment in some of the world’s most water-stressed economies. Against this backdrop, Rajiv Mittal, chairman and managing director of VA Tech WABAG Limited, highlights that the region remains central to the company’s global strategy, contributing about 30% of its overall revenue and nearly 60% of its international business, with an active portfolio of around $400 million spanning construction as well as operations and maintenance contracts.
Mittal tells Dipak Mondal how WABAG is navigating the ongoing conflict, ensuring business continuity, and positioning itself for potential opportunities, while underscoring the strategic importance of water infrastructure and the long-term growth potential of a region undergoing economic and industrial transformation. Excerpts:
How has the ongoing conflict in West Asia impacted WABAG’s operations and project portfolio?
So far, our portfolio of about $400 million across construction and operations and maintenance contracts has remained largely unaffected. Operations across key markets such as Saudi Arabia, Dubai, Bahrain, Oman & Qatar and other parts of the Gulf have continued without disruption, and we have not seen any immediate negative impact on execution.
What measures have you taken to ensure continuity of operations in such a challenging environment?
We have taken a very proactive approach by curtailing travel and ensuring that our personnel are stationed close to project sites with necessary accommodation arrangements in place. This has helped us maintain operational stability and ensure that both construction and O&M activities continue smoothly despite the evolving situation.
How do you see the role of water infrastructure in the region, especially in the current context?
Water infrastructure is absolutely critical in West Asia, given the region’s heavy dependence on desalinated water for drinking and treated wastewater for industrial and irrigation purposes. In the absence of natural freshwater sources, any disruption in water supply becomes a strategic issue, particularly during times of conflict, which underscores the importance of resilient infrastructure.
Do you see any opportunities emerging from the current situation?
While there has been no immediate disruption to our business, a prolonged conflict could create opportunities for the sector. For instance, damage to critical infrastructure such as desalination plants could lead to increased demand for reconstruction, refurbishment and upgrading of facilities, which plays to our strengths as a solutions provider.
What is your outlook for the region in terms of growth and future opportunities?
The region continues to remain a key contributor to our business, accounting for about 30% of our overall revenue and nearly 60% of our international operations. Beyond the current situation, West Asia is undergoing a structural transformation with governments focusing on industrialisation, reducing dependence on oil and promoting localisation. Emerging sectors such as data centres, supported by stable energy and low power costs, are also expected to drive incremental demand for water solutions, reinforcing our long-term growth outlook.
WABAG has secured a wastewater treatment project in Georgia, marking its entry into the CIS region. How does this project fit into your broader international strategy?
This project marks our entry into Georgia and the wider CIS region, and is a strategic addition to our international portfolio. Securing an EIB-funded project reflects our strong technical capabilities and consistent execution track record. We are focused on expanding in markets with a clear need for advanced water infrastructure, while maintaining a diversified and balanced global presence.
WABAG’s joint venture has also secured an ADB-funded ‘Mega’ order to develop a city-wide looped water grid in Chennai. How significant is this project for urban water management in India?
The Chennai project is a significant step towards building resilient urban water systems. A looped grid improves supply flexibility, enhances pressure management, and reduces systemic vulnerabilities. Combined with digital monitoring, it enables efficient and responsive operations, and will be key to strengthening water security in large cities.