Dagshai is situated on the hilly terrains of Himalayan Ranges in Himachal Pradesh. It is placed in middle of high souring mountains in the green vegetation of Solan district. Its climatic condition remains adequate throughout the calendar year. Its summer temperature ranges between 20 – 30 degree and winter temperature goes low up to 2 degree Celsius.

The Dagshai Cantonment was established by the British in 1847. It is 64 km from Shimla, 60 km from Chandigarh, and 90 km from Ambala Cantt (Haryana), an important Railway Junction of North India and lies at a height of 1,734 metres (5689 ft).The town is a health resort, having an elevation of 1,900 metres above sea level. Total area of Dagshai cantonment is 821.7793 Acre.