Petronas Lubricants to set up Rs 315 crore plant near Mumbai

Petronas Lubricants International (PLI) officially declared to set-up its state-of-the-art lubricant blending plant in Maharashtra Industrial Development Corporation (MIDC) Patalganga (75 km from Mumbai). The company invested US$ 50 million (Rs 315 crore) in the plant, which is constructed on 25 acres of industrial land with an estimated production output of 110 million litres of lubricants. The plant is expected to commence operations by end-2017. 

Amir Hamzah Azizan, PLI Group CEO, inaugurated the groundbreaking ceremony at the site of the new plant along with Giuseppe Pedretti, PLI regional head of Asia and MP Singh, Petronas Lubricants (India) (PLIPL) CEO. The ceremony was also attended by Giuseppe D’Árrigo, PLI regional head of Europe, members of the PLIPL board and senior dignitaries from PLIPL and MIDC.

Commenting on the new plant Giuseppe Pedretti said, “PLI has very aggressive ambitions to be amongst the world’s top lubricants player by 2019. India is without exception a very important market for us here in the Asia region and we are confident of the potential ahead of us. Therefore, we have embarked on a solid growth plan to accelerate our business here in India, starting with investments into the new plant that is equipped with world class lubricants blending facilities and equipment, highly automated production line, and increased storage tanks. We have also embarked on a new route-to-market approach that will see us transform the way we do business with our distributors and retailers in the high-street business.” 

Also commenting on the industry was MP Singh, “In India, the growing economy and emerging middle class will continue to contribute to a robust automotive market growth. With a market size of 2.5 billion litres and lubricants demand projected to grow at 2.3% CAGR, India is the world’s 3rd largest lubricant market behind USA and China. PLIPL is now entering the next wave of growth in line with our aspiration. We need to be innovative, differentiated and focused in growing our market share, especially in the highly competitive high street market, therefore it only makes sense to increase production and revamp the way we go to market.”  

“All these efforts – investment into a new plant, brand building, talent acquisition, and renewed route-to-market approach – signals PETRONAS’ commitment and seriousness in our business in India. It is our hope to foster long term partnership with key distributors who share the same vision and aspirational growth, and can go the distance with our belief in technology as a key differentiator and enabler in the lubricants industry,” summed up Amir Hamzah Azizan.