The growth of the engine oil market is around 10 to 12% in the last three years mostly because of the rise of automobiles, industry, and agriculture.
According to the Bangladesh Road Transport Authority (BRTA), the number of registered petrol and diesel-powered vehicles is 3,663,189 units.
The number of automotive vehicles has increased by 2.5 times in the last eight years.
The demand for engine oils will rise keeping pace with the increasing automotive vehicles. It is ex[ecting 3% yearly growth.
Mostly, for this reason, the annual consumption of engine oil was over 14% growth for the last four years. Now its current demand is around 160 million tonnes.
Moreover, the overall engine oil demand is growing for the rise of power sector. Now, it is a special market for industrial lube.
The lube demand for industries has doubled in the last five years due to the establishment of a number of power plants across the country. The quick rental power plants need a huge quantity of lube oil to run. So, the demand for industrial lube will continue to rise at least for the next 15 years.
The industries account for 30% of the total lube consumption; however, it may take over 35% of the overall demand in the next 10 years.
Above all, Mobil is the market leader with 27% market share. However, market insiders say that around 70% market shares belong to various brands altogether.
Already, the engine oil market has many global and local brands.
Overall, the engine oil market in Bangladesh is competitive now. Already, oil players have established their footholds here, with international brands. With more than a hundred brands on the shelf, this market is growing steadily.
Last year, the demand for the total engine oil market was around 160,000 tonnes.
The Daily Star, a reputed newspaper of Bangladesh reported that the engine oil market has grown at nearly 15% during the last three years.
Also, we see that total lube consumption has increased by 60% during the last nine years, where the market has received around 5% to 6% annual growth.
Market insiders assumed that engine oil consumption likely to be around 165,000 tonnes for the year 2019.