India's leading engineering company McNally Bharat Engineering has planned to make a foray into the fast growing water industry in India. The company is eyeing water and wastewater projects in the country.

McNally Bharat Engineering has entered into an exclusive technical partnership agreement with Singapore's leading water technology company Hyflux for this purpose.

The technical partnership will allow McNally Bharat, that undertakes turnkey projects in infrastructure and related manufacturing activities primarily in India, to set up sea water desalination, water and wastewater plants in India. Hyflux has a strong presence in the water desalination industry with projects across the world.

The Indian company is eyeing projects in the industrial, municipal and agricultural sector in India.

"With this tie-up MBE shall be setting strong foot-print in this area in India where there is a strong demand in Sea water desalination project particularly in municipal, agricultural and other industrial usage", a company statement said.

Several Indian companies, engaged in providing engineering services, have turned towards the water industry and remain bullish on the business potential in view of the Indian government's increased spending on infrastructure. The increased focus on water infrastructure and irrigation systems has attracted several companies to make a foray into the sector.

Companies like McNally Bharat expect the renewed focus on water infrastructure sector to culminate in more orders in the irrigation systems, water supply and sewage water treatment space.

The Indian government had raised the allocation for irrigation projects by almost 100per cent to $57 billion USD for the Eleventh Five Year Plan ending 2012.