Shell Lubricants plans more blending centers in India

Shell Lubricants feels that for a larger play in the growing Indian market, it is indispensable to have more blending centers. Today, it has only one — in Mumbai. Shell has earmarked nearly Rs 469 crore (US$101.08 million) to increase its capacity at its Taloja plant in Maharashtra to 2 lakh units per annum, on the back of burgeoning demand from the Indian automobile industry. Currently, the company has a capacity of 100,000 units per annum and has a seven percent market share by volume. Shell is also examining whether to build a new blending plant, takeover an existing one or outsource blending operations. A decision on this will be taken up next year, Donald Anderson, country head, lubricants, of Shell India Markets Pvt. Ltd., told Business Line. The Indian lubricants market of 1.7 billion liters a year is growing close to six percent annually. India represents approximately three to four percent of world lubricant. (October 7/9, 2009)