The Hindu Business Line : BPCL joins hands with Namakkal poultry body

IN a bid to expand its share in the truck operators' heartland of Namakkal, the public sector oil company Bharat Petroleum Corporation Ltd (BPCL) has teamed up with the Namakkal-based poultry industry to market petroleum products.

The BPCL-Namakkal Poultry Association tie-up has paved way for the birth of the first-ever petroleum retail outlet under a poultry trade association.

The dealership to the poultry association will also give the BPCL a push in tapping the Namakkal market dominated by two other public sector oil companies, Indian Oil Corporation and Indo-Burma Petroleum Corporation.

The BPCL's retail outlet licensed to the Namakkal Poultry Association was inaugurated on August 27. An estimated 150-plus trucks owned by the poultry feed manufacturers-cum-egg traders in Namakkal is expected to provide synergy to the association in marketing the petroleum products under its ambit.

This will also enable the BPCL achieve volume marketing of oil products.

Enquiries with the oil industry sources point out that BPCL will be in a position to market at least an additional 4,00,000 litre diesel a month in Namakkal through the newly set up dealership by the poultry association.

While Indo Burma was the forerunner in allowing the first-ever dealership for a lorry owners association in Namakkal several years ago, Indian Oil followed suit by giving dealership to different truck operators associations to regions such as Sankari and Rasipuram, besides Pollachi and Salem in addition to one in Namakkal itself.

According to reliable sources connected with the oil industry, BPCL which is handling the huge oil distribution installation at Karur is of late making a serious bid to develop its market penetration especially in the major lorry operators bases in western Tamil Nadu involving Namakkal, Tiruchengodu, Rasipurm, Sankari.

BPCL is also close to signing up a memorandum of understanding with the Namakkal-based LPG Tank-Truck Owners Association which is planning to put up its own petroleum retail outlet, the sources told Business Line.

Industry/trade associations such as the lorry owners body in the westernpart of the State do attract the attention of the public sector oil companies in granting dealership as these associations with strong membership bases and robust financial standing come as a strong bait for them in spreading their market network.

The petroleum product dealerships come in handy for these truck operators associations both in meeting their own members' demand for quality oil products and also strengthening their financial standing by adequately helping in their cash flow.

More Stories on : Retailing | Petroleum | Tamil Nadu | Poultry

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