India’s state-owned oil companies hike lubricant prices

India’s state-owned oil marketing companies increased the prices of lubricants by as much as Rs.15-18 (US$0.27-0.32) a liter across all grades. Indian Oil Corp. (IOC), Hindustan Petroleum Corp. Ltd. (HPCL), and Bharat Petroleum Corp. Ltd. (BPCL) attributed the price increase to the weakening of the rupee and the rise in the price of base oils. The price-sensitive lubricant market, which includes automotive and industrial products, sells 1.5 million tons per annum. The three state-owned companies account for 60% of the Rs.15,000 crore (US$2.71 billion) lubricant market, and automotive lubricants command close to 55% of the market. Aside from the three oil marketing companies, Castrol and Shell are among the top five brands. IOC increased its prices in July last year; BPCL and HPCL in August. (June 21, 2012)