Indian Oil Corp. Ltd. opened a lubricant blending plant in Kolkata last month, saying the plant will support and benefit the economic development of Eastern India.
The facility, IOCL’s ninth blending plant in India, cost Rs 142 crores (Rs 1.4 billion or U.S. $19.4 million) and has capacity to produce 90,000 metric tons of lubricant annually. That makes it one of the largest lubricant factories in the country, IOCL officials said in a Dec. 19 press release.
“Kolkata’s lube blending plant will cater to the growing demand for lubricants in the eastern part of the country,” Dharmendra Pradhan, the country’s minister of petroleum and natural gas and steel, said during a commemoration ceremony. He added that the plant will supply the states of West Bengal, Bihar, Orissa, Jharkhand plus the northeastern sections of the country.
Eastern India’s economy lagged Western India since the nation gained independence. Growth has improved since the turn of the century, but it still receives attention from government. The region’s core industries include railways, engineering, fertilizers, steel, sugar and power.
IOCL, which is majority-owned by the national government, is the nation’s biggest lubricant supplier, claiming that its Servo brand holds a 27% stake of domestic demand. The company is the leading supplier in each of the main product categories – automotive lubricants, industrial lubes and greases.