Petronas announced new sales strategies and expansion plans for gaining market share in Thailand and India. Malaysias state-owned oil company aims to grow 20 percent each year to become one of the top five lubricant brands in Thailand by 2020. It recently partnered with an automotive company in India, where it is also constructing a blending plant.
To focus on Thailands lubricants market, Petronas subsidiary sold its network of around 100 petrol stations to local retailer Susco in 2012. This year, the company formed a team to tackle growth plans, comprised of newly appointed Chief Executive Officer Nattapong Asavathongskul, a former industrial lubricants manager at Shell Thailand with more than 20 years of experience, and Marketing Manager Jarus Srisamaikul, who worked previously with BP Castrol Thailand.
Thailand is currently the second largest country in terms of demand for lubricants in Southeast Asia, after Indonesia, Nattapong said in a recent press release. The total volume of lubricant oils in the Thai market totals 600 million liters per year. The overall lubricant market in the second half of the year is expected to improve due to better political stability in Thailand.
Although the company did not disclose any specific sales targets, Nattapong told Lube Report Asia that Petronas products are distributed through a few B-Quick outlets and 3,000 active outlets. He added that the company wants to build brand awareness and will consider on a case-by-case basis providing express delivery service.
Petronas Lubricants India Pvt. Ltd is investing U.S. $50 million to build a 60,0000 metric tons per year blending plant on 25 acres of industrial land in the Patalganga industrial area near Mumbai. The company plans to open the plant by the end of 2015 and then double its size by 2017.
Petronas recently signed an agreement with Indias Maruti Suzuki (MSIL) for the supply of a 5W-40 diesel engine oil customized for Maruti Suzuki vehicles. With the partnership, Petronas will gain access to Maruti Suzukis entire distribution network.
This gives Petronas a huge reach, considering that MSIL has the largest network in the country – a total of 3,100 plus service outlets running across the country, Petronas said in a press release.
According to the press release, Petronas Syntium 3000 SZ MGDO 5W-40 is designed to allow extended drain intervals. The company said it minimizes oil thickening at very high operating temperature and minimizes friction and wear during start-up.
Petronas Lubricants India is wholly owned by Petronas Lubricants International, formed in 2006 to manufacture, market and distribute lubricants, transmission fluids, anti-freeze and functional fluids. The company has supply and technology partnerships with original equipment manufacturers Piaggio, New Holland India, Fiat and Tata Motors.