Top 10 Best Lubricant Manufacturing Companies in India in 2023

Lubricants are petroleum and/or synthetic hydrocarbon products that are used to reduce wear on bearing or other metal surfaces that experience friction during their operation. Lubricants are used to improve the performance and extend the operational life of the internal combustion, engines, and gearboxes.

Lubricants should have the following characteristics that include high boiling points, low freezing points, high viscosity indices, thermal stability, hydraulic stability, corrosion resistance, and oxidation resistance even at high temperatures.

In addition to having its utilization for industrial purposes, lubricants are used for many other purposes. Other uses include cooking (oils and fats used in frying pans, in baking to prevent food sticking) and bioapplication in humans.

The Indian lubricants market was valued at over 2,610 kilotons in 2020, and the market has been projected to register a CAGR of more than 1.5 percent during the forecast period of 2021 to 2026.

Due to the emergence of covid-19, the first half of 2020 experienced a negative impact. It was because of the lockdown during the pandemic period, that automobile production has been halted and plants were temporarily shut down. This, in turn, affected the demand for lubricants in 2020. 

Automobile production has declined to 2.16 million units in the first few months of 2020 from 3.51 million in 2019.

The Indian lubricant market has been categorized based on product types and the end user industry. By product type, the market has been divided into the engine oil, transmission and hydraulic fluid, metalworking fluid, general industrial oil, gear oil, and many other product types.

By end-user industry, the market is segmented into automotive, industrial, agriculture, and other end-user industries. The market sizing has been done on the measure of volume (kilotonnes) based on the market sizing and forecasts.

The lubricants industry has dominated the demand:

There are three typical types of lubricants: Full synthetic oil, semi-synthetic oil, and mineral oil. Full synthetic oil is the most refined type of engine oil that is used in high-performance bikes. 

The oil has a comparably longer shelf life as compared to the other types of engine oils.

The only limitation of the lubricant is the high price which is associated with synthetic oil.

Semi-synthetic oil is a mixture of non-conventional and high-performance fluid additives that is combined with traditional engine oil. The oil is typically used in low-capacity engines.

Mineral oil is the most common type of engine oil in the Indian market. The lubricant is extracted from petroleum products and is hence termed mineral oil. The lubricant is widely used in low-capacity vehicles, is highly affordable, and has a high demand for its affordability and ability to protect engines.

The demand for lubricants has been increasing throughout the period, and the consumption of engine oil is expected to increase during the forecast period.

Predictions have been made that the automotive industry will dominate the market in the upcoming years.

The automotive segment is the largest-end user market in India. Lubricants have a good share in both the OEM and the aftermarket. 

The country’s automotive industry accounts for 7.1 percent of the country’s GDP in the two-wheeler segment accounts for around 81 percent of the share contributed by the rising young and middle-class population. 

The Government’s regime to promote the local products has boosted the local manufacturers and offered stiff competition to the major International lubricants manufacturing industries. 

The automotive industry is further seeing a shift in vehicle preferences due to consistent economic development and rising incomes. It has helped to augment the demand for passenger car motor oils.

The Indian lubricant market is highly competitive, and the top players are presently dominating the global market. They are resorting to competitive strategies and investments to retain and expand their shares in the market. The top six key players contribute to 73 percent of the market studied. 

The increasing demands from the end-user industries are currently driving the lubricant markets in India. The potential growth difference for the lubricant market in India accounts for 809.93 thousand tonnes between 2021 and 2026.

Top 10 Best Lubricants Manufacturing companies in India in 2023:

1. Indian Oil Corporation:

Indian oil corporation is an Indian government-owned leading lubricant manufacturing company in India. The company has its headquarters located in New Delhi and is a public sector undertaking whose operations are run by the Ministry of Petroleum and Natural Gas.

Indian Oil Corporation is ranked 142 on the Fortune Global 500 list of the World’s biggest corporations as of 2022.

It is the largest government-owned corporation in the country accumulating a net profit of 6.1 billion USD for the financial year 2020-21. 

According to the data obtained from March 2021, the Indian oil corporation’s workforce strength comprises 31648 employees out of which 17762 employees are appointed as executives while 2775 are women accounting for 8.77 percent of the total workforce. 

As per the data obtained in 2022, the lubricant manufacturing company has a net revenue of 736730 crore INR and net income accounting for 24491 crore INR.

The business is divided into seven major organizations including the Refineries division, Pipelines division, marketing division, R&D division, Petrochemicals division, Exploration and Production Divisions, and Explosives and Cryogenics division.

The company deals with nearly half of India’s petroleum products market share accounting for 35 percent of the national refining capacity and 71 percent of the downstream sector pipelines through capacity. 

In addition, the corporation owns and operates 11 of India’s 23 refineries with a refining capacity of 80.7 million tonnes per year.

Indian Oil Corporation promotes sustainable growth as an opportunity to increase and improve its business processes and practices. This helps the company to impact its entire scope of business. 

Moreover, the focus is on developing their group businesses to deliver long-term strategic benefits and shareholder value by maximizing synergies through sustainable development processes.

2. Castrol India Limited:

Castrol India Limited is an automotive and industrial lubricants manufacturing company. It is the second largest manufacturer of automotive and industrial lubricants in the Indian lubricant market and owns around 20 percent market share in the overall Indian lubricant market.

It is a part of Castrol Limited Uk and has five manufacturing plants networking with 270 distributors operating over 70,000 retail outlets.

The lubricant manufacturing company deals with products, including corrosion preventives, industrial lubricants, metalworking fluids, and high-temperature greases and cleaners.

The world of transport is going electric and EV Fluids have a vital role to play. The electric vehicle market is at a very early stage, predominantly utilized in factory fill applications. 

Castrol India has shifted its interest to serve the future by operating in the factory-fill business. The factory fill refers to the fluids that are applied during the initial manufacture of the vehicles. The EV will be available in service fill and the aftermarkets.

Castrol ON is a range of advanced EV Fluids, including EV Transmission Fluids, EV Thermal Fluids, and EV greases. At present, they are primarily used for factory fill. 

The company has emerged as an essential dealer to meet the fuel requirements of electric vehicles. The utilization of such fuels will help reduce energy losses in the drive train system and improve EV Transmission efficiency.

3. Bharat Petroleum:

Bharat Petroleum Corporation Limited is an Indian government-owned oil and gas explorer, producer, and lubricant manufacturing industry in India. The company has set its headquarters in Mumbai.

It operates refineries in Bina, Kochi, and Mumbai. BPCL is India’s second-largest government-owned downstream oil corporation the operations are regulated by the Ministry of Petroleum and Natural Gas. 

The lubricant manufacturing company occupied a rank of 309 on the 2020 Global Fortune List of the world’s biggest corporations and in addition, it has made it to the list of Forbes 2021 Global, 2000 list. 

According to the estimates made in 2022, the company has a net revenue of 432570 crore INR and a net income of 10145 crore INR.

The company has significantly expanded its network since the mid-1950s, the company began to sell LPG cylinders to homes in India and further expanded its delivery network. 

It also marketed kerosene, diesel, and petrol in cans to supply the products in the rural areas of India. 

Bharat Petroleum operates the following refineries:

• Mumbai Refinery has a capacity of 13 million metric tonnes per annum.
• Kochi refinery has a capacity of 15.5 million metric tonnes per annum.
• Bina Refinery
• Numaligarh Refinery

Bharat Petroleum has a variety of product offerings like Petrol, Diesel, Automotive LPC, and CNG, with premium petrol products like Speed and Speed 97 that ensures a better driving experience for driving enthusiasts.

4. Shell Petroleum Limited Company:

Shell PLC is a British multinational oil and lubricant company that has its headquarters situated in London, England. Shell is a public limited company, and has a primary listing on the London Stock Exchange. The company is even mentioned in the secondary listings of the European Stock Exchange and Euronext Amsterdam.

It is the key player in the gas and oil industry. It is an integral industry in the global economy. 

Shell was included in the list of the largest corporate producer of greenhouse gases from 1985 to 2015, occupying the ninth position.

The company has accumulated a net revenue of 261.5 billion USD and a net income of 20.6 billion USD.

Shell PLC operates worldwide and has exerted its dominance in the Indian industry. Shell India has inaugurated its new lubricant laboratory at its Technology Centre in Bangalore.

Shell has launched its first electronic vehicle chargers in India and further plans to install over 10,000 charging points in India by the end of 2030. The company aims to provide safe, green, and integrated mobility solutions to its customers through the Shell Recharge Stations. The power that would be utilized in the recharge stations will be 100 percent clean energy.

5. Gulf:

Gulf oil is a major oil and lubricant manufacturing company in America that was a key player from 1901 to 1985. It is the eighth largest American manufacturing company and the ninth largest company in 1979. Subsequently, the company merged with the Standard Oil of California.

Gulf Oil Corporation underwent a rebranding as Chevron in the United States. Despite the critical changes, the Gulf brand names and its subsidiaries survived. It has experienced a significant revival since 1990 and has emerged as a flexible network of allied businesses based on its partnerships, franchises ad agencies.

Gulf has been regarded as a new economy business currently and has employed few people directly. In addition, the total assets owned by the company are mainly in the form of intellectual property. 

Gulf Oil India has been one of the leading lubricant manufacturing companies since the 1920s. The company deals with a wide range of products from automotive lubricants to batteries for EVs.

Gulf Oil Lubricants India Limited has a fully automated certified Binding Plant with a capacity of 900000 KL and a world-class R&D center in Silvassa (Western India)

In addition, the company has launched its new blending plant in Chennai, India.

Gulf oil corporation has a pan India network of 320 auto distributors, 30 industrial distributors, and over 5000 retailers backed with the logistic support of 33 depots, five regional offices, and corporate offices in Mumbai. 

Thus the manufacturing industry is the key player in the distribution of lubricants around India.

6. Valvoline:

Valvoline is an American manufacturer and distributor of Valvoline brand-automotive oil, additives, and lubricants, In addition, the company owns the Valvoline Instant Oil Change and Valvoline Express Care chains of car repair centers.

It is the second largest oil change service provider in the United States with a 10 percent market share and 1400 locations.

As of 2019, the company had net revenue of 2.3 billion USD.

The company offers a wide range of products like engine oil, motorcycle oil, heavy-duty engine oil, transmission and drive line, industrial and hydraulic oils, and many others.

The company was started in India in 1866 and has its headquarters located in Haryana, India. They deal with excellent lubricants for racing, automotive, and lubricant purposes increasing the lifespan of the vehicles. The company has also produced products for advanced mileage engines.

7. Elf India:

ELF is a legendary brand worldwide, and it was introduced in India in 2003. The headquarters are situated in Mumbai and have emerged as a fast-growing brand in the lubricant manufacturing industry within a short period.

The company is a manufacturer of heavy-duty oils, everyday motor oils, premium motor oils, and specialty industrial lubricants.

The brand has engaged in motorsport competitions in the merging platforms and is one of the trusted brands in India.

The oils manufactured by the company have a high drainage period meaning that the individuals do not need to change the oil multiple times, and they are often purchased due to the affordability in the price range.

8. ExxonMobil Lubricants:

ExxonMobil Corporation is an American multinational gas and oil manufacturing company. The company’s headquarters are situated in Irving, Texas. The brand has emerged through the collaboration of the two largest fueling stations and the downstream products manufacturing industry.

The company has a net revenue of 276.6921 billion USD and a net income of 23.040 billion USD according to the data source for 2021. 

The company was established in India in 1911, and its headquarters are situated in Harayana, Gurgaon. The brand has received increasing recognition among bikers. They have an extensive product line that includes heavy-duty engine oils, everyday motor oils, premium motor oils, and specialty industrial lubricants. 

The lubricant manufacturing company is divided into the following business divisions:

• Low Carbon solutions that are focused on commercializing lower-emission business opportunities in carbon capture and storage, hydrogen, and lower emission fuels, by leveraging the skills, knowledge, and scale of ExxonMobil.

The company has more than 30 years of expertise in capturing carbon dioxide and has efficiently captured more carbon dioxide gases than any other company.

• Production Solutions Company helps in the engineering, manufacturing, and delivery of the products required by modern society at an industry-leading scale to serve multiple segments, products, and markets.

The step will play an integral role in managing greenhouse gases and plastic wastes by developing sustainable products.

• Upstream Company which ensures meeting the global demands safely. The operation engages geologists, engineers, and scientists to develop oil and natural gas using innovation and industry-leading technology.

9. Sinopec India:

Sinopec is an emerging brand that was started in 2003 and has more than 93000 employees globally. The company deals with products, including greases, cooling systems, manual gearboxes, and brakes.

Sinopec provides different lubricants, including Gasoline Engine Oil, Motorcycle Oil, Transmission Fluid, Diesel Engine Oil, Automotive Gear oil, and many others.

In India, the company has a corporate office situated in Mumbai and has a network across pan India.

The company promotes low carbon transformation to prevent the emission of greenhouse gases leading it to achieve the global goal. The company has collaborated with all its stakeholders to shape the goal of sustainability.

10. HP:

Hp Lubricants is an integral part of the Hindustan Petroleum Corporation Limited, one of the key players in the Indian oil industry. The company is committed to providing energy and fueling growth in every significant area of development in addition to providing sustained emphasis on environmental protection and preserving the cultural heritage of India. 

Hinduja group acquired the rights of HP in 1980 and owns the complete rights to the brand. 

Their Bina refinery has a capacity of 6 million metric tonnes per year. The company provides the following products, automotive oils, industrial oils, greases, marine oil, and many others.

Wrap up:

While there is a mountain of brands to choose the correct lubricant from, it is essential to use the one that suits the best vehicle. It will depend on the recommended oil weight, the temperature on which it operates, and the oil that has been tested by the recognized agency. Apart from that, one can look for its affordability followed by the environmental concerns its poses.