Sri Lanka’s lubricant market grew 6.8 percent to Rs.23.4 billion in 2015, with 10.1 percent growth in automotive lube and 7.7 percent increase in industrial lube, the lubricant market report 2015, compiled by Public Utilities Commission of Sri Lanka (PUCSL) showed.
However marine lubricant market slowed down 37.7 percent in 2015 from a year ago while greases market recorded a moderate growth of 4.7 percent.
In the automotive lubricants market segment, the highest growth was shown in four stroke motorcycle oil with an increase of 29 percent and petrol vehicle lubricants market increased by 14.8 percent.
“This is undoubtedly due to a large increase in imports of motorcycles and gasoline-driven cars during 2015,” PUCSL said.
The diesel vehicle lubricant market showed an increase of only 2.3 percent while gear oil consumption increased 12.5 percent.
Automatic transmission fluid consumption increased by only 2.8 percent, which appears to be relatively low compared to the increase in gasoline engine lubricants.
“Virtually all the increase in gasoline engine oil is in multi-grade oils, amounting to 90 percent of the increase. Surprisingly the multi-grade oil consumption in the diesel engine oil segment show a decline of 11percent compared to the previous year,” PUCSL added.
“It is appears as the diesel lubricant consumers are switching from multi-grade to mono-grade,” PUCSL noted. Currently, 13 operators share Sri Lanka’s lubricant market, who are authorized to import, export, sell, supply and distribute lubricants, while only three operators among them, are authorized to blend lubricants. Chevron Ceylon lubricant market share narrowed to 47.58 percent in 2015 from 49.30 percent in 2014 with nearest competitor, Lanka Indian Oil Corporation (Lanka IOC), increased its market shares to
14.86 percent from 12.59 percent in 2014.