Shell forecasts sales growth of 10% in Thailand
Royal Dutch Shell Plc expects to increase its lubricant sales in Thailand by 10% to 60 million liters in 2013, surpassing the overall market growth of 5-7%, said Emmanuel Mignot, the general manager for lubricants in Thailand, the Philippines, Vietnam and South Korea. He added that the forecast is based on the expected strong growth in the industrial and automotive sectors in the country.
Shell expects a 5% volume growth this year, with sales reaching 370 to 380 million liters, said Mignot. The industrial, automotive and retail sectors currently accounts for about 33% of Shell’s lubricant sales in Thailand.
Shell ranks second in Thailand’s lubricant market, after PTT Plc. Mignot said Thailand is one of the top 10 lubricant markets for the Shell Group. The company expects to increase lubricant sales to the automotive and industrial sectors next year by 15% and 10%, respectively. Additionally, he said that the strong car sales this year brought about by the government’s first-time car buyer incentive will lead to greater demand for lubricants.
Shell is also expecting more growth as a result of the decision of several Japanese companies to obtain supplies from Thailand, especially in the areas of power generation, tire manufacturing, construction and transport.
Shell is currently No.1 worldwide in lubricants, with a market share of 13%. ExxonMobil and BP are second and third at 11% and 7%, respectively. (November 21, 2012)