A Scottish water treatment specialist has moved into new markets in Qatar and India after securing £1.3 million funding from HSBC bank.

Borders-based Scotmas has won contracts worth £2m in total to supply water disinfection systems for four new desalination plants in Qatar, which will host the soccer World Cup in 2022.

Managing director Alistair Cameron noted that Scotmas has been able to capitalise on the hefty investment the oil and gas rich country is making in upgrading public infrastructure systems.

"One of the biggest restrictions they have is the lack of availability of clean water," he said.

Privately-owned Scotmas has also been appointed to help provide clean water to villages in Southern India under a national infrastructure improvement drive.

The company will supply small scale systems for use in a hundred villages in India, in a deal worth around £300,000.

Mr Cameron said with thousands of villages needing improved water systems demand could be massive.

He expects the contract wins to help Scotmas to increase turnover to £5m in the current financial year, from £3.5m in the preceding period.

The success provides an example of how firms are finding new overseas markets for expertise developed in Scotland.

Scotmas designs and manufactures water treatment systems that use chlorine dioxide, for clients in sectors such as agriculture and healthcare in the UK. Mr Cameron said these offer advantages over standard chlorine treatment options.

The company moved to increase its overseas sales as part of an expansion strategy developed under Mr Cameron.

Many UK manufacturing businesses were impacted by the slowdown that followed the financial crisis in 2008.

The company has also diversified into providing specialised treatment systems that can be used on offshore oil and gas installations.

"We have made a number of significant and ambitious business decisions in recent times to make Scotmas stronger and more profitable. Diversifying into different areas was the biggest decision," said Mr Cameron.

He added that HSBC recognised the company's ambition and had the international reach and expertise to suit its new business model.

Scotmas previously banked with Royal Bank of Scotland.

Colin More, HSBC's Head of Corporate Banking for Scotland said: "Scotmas is a great example of an ambitious business that takes a step back to assess where it is and where it is going. In doing so it has identified areas where their world-leading technologies can prove useful and profitable, and as a result they are a business that is going from strength to strength."

He added: "We have a strong appetite to support the growth of mid-market Scottish businesses like Scotmas."

HSBC provided funding for Scotmas from its £100m East of Scotland SME Fund.

In December the bank said 73 per cent of the fund had been allocated by the start of November. The company is in a closed period ahead of the publication of an interim management statement for the first quarter and could not update on that figures yesterday.