Market study: Lubricants November 2012 Summary The Lubricating Oil Market in Australia3 Introduction3 The Packaging of Retail Lubricating Oil3 Major actors in the sector4 The Lubricating Oil Market in Australia Introduction The consumption of lubricating oil in Australia totalled 458 megalitres (ML) in 2009/10. The major users are industrial and mining companies, primary producers, transport companies and the automotive industry. These commercial users account for approximately 85 per cent of sales of lubricating oil.
These sales are almost entirely made in bulk, or in steel drums, directly from the lubricating oil companies or their distributors. The balance of sales, approximately 40 ML/year, is made in packaged form, predominantly to light commercial industry, motorists and home DIY oil changers. The sales channels include service stations, supermarkets, and automotive accessory retail outlets. Lubricating oil companies sell packaged lubricating oils under their own brands, and also supply packaged lubricating oil for private oil labels – such as those of supermarkets and automotive accessory chains.
Packaged sales have trended down in recent years, with a trend to larger bulk packaging where possible. This retail sales channel gives rise to a waste stream, comprised of used oil and used oil packaging – ie plastic oil bottles. This Action Plan is focused on the latter waste stream. Source: Australian Institute of Petroleum, www. aip. com. au The Packaging of Retail Lubricating Oil Lubricating oil bottles are almost exclusively made from coloured HDPE. The total volume of HDPE would have approximated 2335 tonnes. The bottle sizes range from 0. – 20 litres. However the bulk of sales are concentrated in three sizes: 1 litre, 4 litres and 5 litres. These three sizes constitute over 80 per cent of bottle volume and HDPE usage. The weighting of bottles is a competitive issue for lubricating oil companies, and is influenced by cost, design and proprietary factors. Typical weight of HDPE per bottle for these three sizes is as follows: 1 litre 60 grams; 4 litre 210 grams; 5 litre 260 grams. However, there are considerable differences in bottle weight (HDPE usage per bottle) between companies.
Source: Australian Institute of Petroleum, www. aip. com. au Major actors in the sector The main companies involved in the production, blending, distribution, and sale of packaged lubricating oils in Australia are: * BP Australia Pty Ltd (incorporating Castrol Australia Pty Ltd) * Caltex Australia Pty Ltd * Shell Company of Australia Ltd * Valvoline Australia Pty Ltd * Mobil Oil Australia Pty Ltd These five companies are estimated to account for about 85% of the national sales of lubricating oil.
Main competitors: | Australasian Lubricants Manufacturing Company Pty Ltd (ALMC) is the largest manufacturer of Lubricants in Australia. They currently manufacture more than half of the lubricant demand in the Australian market. | | Shell Lubricants is the number one global lubricant supplier* and has a 70-year history of innovation. Some of the world’s top manufacturers choose Shell as the first-fill motor oil for new vehicles in their factories and continue to use a range of our products for ongoing servicing. | BP manufactures and distributes an extensive range of lubricants, covering everything from engine oils to brake fluids for passenger cars, motorcycle, marine … Castrol is widely seen as the world’s leading brand of specialist lubricants for engines and machines…| | Valvoline is Australia’s leading supplier of automotive and industrial products and synthetic engine oils, coolers, filters, lubricants and services worldwide. | | Fuchs is the world’s largest independent manufacturer and supplier of lubricants.
The wholly owned Australian subsidiary has been supplying specialised lubricants since the late 1890’s and is the leading market player in many lubricant sectors. | | Delivering the most complete range of synthetic lubricants and fuel additives available in Australia. From a 3,500HP dragster to a 3. 5HP lawnmower Red Line has fully synthetic products, which will deliver a stunning level of protection and efficiency gains. | | The Caltex range of lubricants is led by our flagship petrol engine oils Havoline Fully Synthetic and Havoline Premium Plus, and Delo® 400 Multigrade for diesel engines.
The advanced technology in Caltex Havoline Fully Synthetic | | PM Lubricants Australia – an all Australian lubricant company with a simple aim – to produce and distribute the finest quality lubricants in the world. PM specialises in formulating and marketing exceptionally high quality, high performance, time and money saving lubricants. | | Phoenix Lubricants is an independent Australian supplier of bulk lubricants, including engine, transmission, gear and hydraulic oils, coolants and additives. | Bimrose Lubricants Oil, grease, fuel treatment, molybdenum disulfide grease, plain grease| Others smaller manufacturers: * Hi-Tec Oil Traders Pty Ltd – Lubricants Smithfield NSW Australia * Tecalemit Lubrication Equipment * Golden West Lubricants * Logicoil Pty Ltd * Morey Oil South Pacific Aust Pty Ltd * Ets Equipment Technology Services * South East Qld Fuels * Petrogas Pty Ltd * Petrofin International Pty Ltd * Kluber Lubrication Australia Pty Ltd