Engine oil market of Bangladesh is an example of a competitive one, as it has already placed more than 100 brands altogether and the number of brands is increasing day by day.
And the situation is being worsened while so many by name products are available. So, this market has become more overstated in terms of brand names and local products.
Last year, the demand for the total engine oil market was around 160,000 tonnes.
The Daily Star, a reputed newspaper of Bangladesh claimed that the engine oil market has grown at nearly 15% during the last three years.
In this growing market, should we allow too more brands in this market is a question?
Regularly, the retailers have to welcome the representatives of newly entered brands. Even, India doesn’t have too many engine oil brands like Bangladesh have.
Earlier, we observed these factors behind the engine oil trade of Bangladesh. And, business Insiders has depicted this lubricants market as a silent trade with a lot of floating traders.
Market Insiders says the lubricants consumption likely to be around 165,000 tonnes for the year 2019.
For the last nine years, it has observed that lubricants consumption has increased by 60%, where the market has enjoyed around 5% to 6% annual growth.
However, the engine oil demand is growing thanks to increasing automotive sector and the agriculture-based economy.
Besides, the engine oil consumption in the industrial sector has increased significantly in the last 5 years.
Already, oil players have established their footholds here, with international brands.
Market insiders think lack of govt. intervention on the policy to monitor this trade make this market uncontrolled one.
And it is high time to bring strong regulations to change this prevailing situation and help the industries and also protect the environment in the process.
However, the lack of market monitoring and the least reporting makes this trade unnoticeable to the public.
Currently, the situation is being tough for the overall engine oil market. It is clear, the engine oil brands with their existing market share, are struggling to hold their market shares.