The Hindu Business Line : Valvoline Cummins targets at Rs 250-cr revenue

Mr Craig Moughler (left), Senior Vice-President and Managing Director, Valvoline International Inc, and Mr Michael B. Porter, Vice-President (Asia and Pacific), at a press conference in Bangalore on Tuesday. - G.R.N. Somashekar

Bangalore , Sept. 21

VALVOLINE Cummins, a leading producer of diesel engine and automotive engine oils in the private sector, has focused on the new segments such as CNG, filters and care products such as perfumes to consolidate its position in the Indian market.

It has a 3 per cent share in the Rs 6,500-crore lubricant oil market dominated by the public sector oil companies. With its annual compounded growth of 30 per cent in the last few years, Valvoline Cummins has projected revenue earning of Rs 250 crore this year.

Valvoline Cummins, a 50:50 joint venture between US-based Valvoline International and Cummins Diesel Sales and Service India Ltd, has identified India as an emerging market.

Addressing a press conference here on Tuesday, Mr Craig Moughler, Managing Director of Valvoline International, said the joint venture with Cummins in India would be a model for the company to replicate in other emerging markets such as Brazil, Mexico, parts of Eastern Europe and the former Soviet Union.

The joint venture had proved to be a successful venture with the partners leveraging their inherent strengths to build the brands with offerings of premium products of appeal to shifting trends towards high-end lubricants by world class vehicles.

Volvo and Ashok Leyland have accorded original equipment approvals, which would help in increasing its turnover.

"India is a imperative investment, a country where we have found success as the value equation being offered has connected with the needs and aspirations of Indian consumers," said Mr Moughler.

Extending its Star Channel Partner's Club programme, introduced three years ago, Valvoline Cummins gas launched Valvoline Champions Club for forging closer association with dealers by awarding them incentives for better results, Mr Naveen Gupta, Managing Director, said.

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