Hindustan Petroleum Corporation Limited (HPCL) and Chevron partner to launch Caltex lubricants in India
Two prominent players in the oil and gas industry, Hindustan Petroleum Corporation Limited (HPCL) and Chevron Brands International LLC (Chevron), a subsidiary of Chevron Corporation, have entered into a long-term agreement to introduce Chevron's lubricant products under the Caltex brand, including Chevron's Havoline and Delo lubricants to the Indian market.
The partnership, which involves licensing, production, distribution, and marketing of these lubricant products, represents a development in the Indian lubricant industry. Caltex, a part of the Chevron family of brands, has distinguished itself as one of the world's leading oil and gas brands.
To celebrate this partnership and their entry into India, Chevron put up a light and sound show at the iconic 'Gateway of India' monument in Mumbai. The projection of graphics paid homage to the contemporary landscape of the country showcasing its rich cultural heritage.
Chevron, the second-largest oil and gas company headquartered in the United States, boasts a global presence with products sold in more than 150 countries. As a global marketer of finished lubricants, Chevron operates 10 facilities and 25 blending plants worldwide.
Danielle Lincoln, vice president of Chevron international products, expressed her enthusiasm about the collaboration, saying, "We are extremely pleased to bring quality and premium Caltex products to India. HPCL is a market leader in India, and together we plan to build on the strength of the Caltex brand and our premium product portfolio. We look forward to a long and successful partnership with HPCL, complementing their offerings with Caltex premium products, including Chevron’s proprietary Havoline and Delo product range in India."
Amit Garg, director, marketing at HPCL, emphasised the value this partnership brings to Indian consumers, stating, "The collaboration between HPCL and Chevron, leveraging HP Lubricants’ market leadership position in India and Chevron’s world-class heritage, is set to deliver increased value to Indian consumers through an expanded offering of premium products. Our long-term cooperation with Chevron is anchored in HPCL's expertise in the production, distribution, and marketing of lubricants and greases. In today's world, modern engines demand next-level engine oil performance to unlock their full potential for motorists. HPCL and Chevron are committed to providing a premium product portfolio that not only meets but exceeds industry standards, ensuring superior results."
HPCL's manufacturing facility located in Silvassa, spanning over 17.5 acres, will produce the premium range of Caltex lubricants. HPCL claims a production capacity of 75,000 kilo-litres per annum (TKLPA) of lubricating oils.
In the context of the growing interest in renewable energy, HPCL also shared its commitment to being net zero by 2040. They also outlined their plans to establish a renewable energy portfolio of 2.4 gigawatts by 2026. With a growing presence in the renewable energy sector, HPCL is working toward a balance between meeting energy needs and reducing the carbon footprint, aligning with India's goals for sustainable development.
India is currently experiencing a robust growth story, and Chevron recognizes it as a strategic market for expansion. The partnership with HPCL is likely to be a pivotal move in capturing this growth. HPCL, a prominent player in the market, comes as an obvious partner offering a manufacturing facility. The partnership with Caltex is seen as an opportunity to strengthen its position in the premium market. Chevron's premium lubricant brands will complement HPCL's offerings, creating an array of options for India's diverse automotive landscape.
However, Caltex isn't without competition, foreign brands like Castrol, Shell and Motul are already present in India and have a good customer base. It will be interesting to see how this competition plays out.