28 March 2020

Interaction-Sanjeev Taneja, President & Managing Director, Evonik India

Innovation is the DNA of Evonik culture

 

 

Established in 2007, Evonik is a globally renowned name in the specialty chemicals industry. The German major, known for its innovative products, brought its globally renowned brand DYNAVIS® for construction and mining industry in India. In an exclusive interview  to CONSTRUCTION OPPORTUNITIES,  SANJEEV TANEJA, PRESIDENT & MANAGING DIRECTOR, EVONIK INDIA speaks about his company’s offerings,  their USP’s and the future outlook for lubes and engine oil industry.

 

 

 

 

The Indian lubricant market is expected to reach $10.3 billion mark by 2027. How in your view is the growth of the sector poised?

 

The Indian Economy is on an upward trajectory. The growth trend shows India will be 5th largest economy by 2019. Two of the major contributing sectors are the automotive and infrastructure industries.

India is the 3rd largest lubricant market in the world, still lubricants consumption per capita is at 1.8 kg, remains low compared to other developing nations, and has significant upside potential growth in lube quality and demand. A fast-growing economy and burgeoning consuming class will further drive demand for both Automotive & Industrial lubes. By switching to BS-VI norm and fuel efficiency, this is bringing up the demand for upgraded FE engine oils and driveline fluids.

 

How will the growing infrastructure sector and other strategic initiatives of the central government boost the lubricants market? Detail us on the trends that are driving the lubricants and engine oil market in India?

 

With an envisioned roadmap of making India a $ 5 trillion economy by year 2025, the Indian government is planning to invest a massive ` 100 lakh crore on developing modern infrastructure. This would have a positive cascade effect on Infrastructure related industry and give a boost to the lubricants and hydraulic fluids demand. We understand that the government of India is also working on a vehicle scrappage policy to complement its landmark decision on the shift to BS VI emission standards. This vehicle scrappage policy can remove unfit vehicles from the road, while also giving a boost to the BS VI compliant vehicles demand, thereby increasing demand for high performance lubes and engine oils. Also, BS VI will enable the introduction of a new generation of lubricants due to engine hardware upgrade.

The government has also raised load capacity of a two-axle truck to 18.5 tons from 16.2 tons. This would boost demand for better performing lubricants and engine oil requirements of heavy commercial vehicles.

A potential shift away from diesel in passenger cars is also expected. There are thoughts on tightening CAFC/CAFÉ norms, putting emphasis on fuel economy and longer drain intervals for commercial vehicles. All of these future trends would have a positive impact on the lubricant and engine oil market.

A boost in infrastructure projects means increased demand for construction and mining equipment or enhanced productivity requirements. Evonik’s DYNAVIS® technology has been designed to make hydraulic equipment more efficient, reliable and sustainable.

 

What are your offerings and their USP’s to cater the construction and mining industry. How Green and recyclable are your products. Detail us on some innovative product/technology developed by your company.

 

At Evonik Oil Additives, we aim to create truly distinctive lubricant technology for the future that boosts the efficiency in automotive, hydraulic and industrial applications. As a leader in the global lubricants industry, Evonik offers customized formulation solutions that meet performance demands of many different applications, from automotive engineering to construction and mining equipment and wind turbines. One of our technology for construction and mining is DYNAVIS® technology and its value proposition is “More Power Less Fuel”. Even at low temperatures, DYNAVIS® formulated hydraulic fluids allow for a quick start-up and easy flow to lubricated areas. From start-up to shut down, DYNAVIS® formulated fluids do more work in fewer hours, providing more power with less fuel.

 

Any new product launches or planned in the near future?

 

Evonik is constantly renewing its product portfolio to keep track with the changes in the industry. Innovation is the DNA of Evonik culture. We, as Evonik are always geared up to meet and exceed the new standards and our products enable to achieve the industry needs. At Oil Additives, our ambition is to improve the efficiency of every vehicle in the world through our additive technologies.

 

Which user segments are the biggest demand drivers for your products and major demands made by end-users. In what way will your products benefit end-users.

 

The construction and mining industries put a strong focus on the reduction of the total cost of ownership. Efficiency has become a key element of every major company’s strategy. We see an increasing demand in the Indian market for lubricant solutions that help customers achieve their efficiency targets.

 

BS-VI norms are soon going to be implemented. How prepared is the market and the industry for this change?

 

As India is leap frogging from Bharat Stage (BS) IV to VI emission standards from 1st April, 2020, Indian automotive and fuel suppliers are prepared to meet significant emissions reductions steps. The Indian public sector refiners / oil marketing companies and private refiners have invested significant capital to produce BS VI compliant fuel and would be able to supply the BS VI compliant fuel according to the timelines. The automotive industry is struggling with current challenges, geared up to meet the BS VI regulations. Key OEMs have taken the challenge to meet the biggest technological disruption in the automotive industry, by augmenting new technologies, platforms and capacities.

 

What will be the impact of BS-VI norms on your product line?

 

Evonik is well prepared to provide products to the market that are designed for fuel economy and help OEMs fulfil the BS-VI norm. DRIVON™ technology is the technology of choice to meet ever-increasing requirements for engine oils and transmission fluids.

 

 

Future outlook for lubes and engine oil industry and from your company perspective

 

The transportation industry faces significant challenges from stringent requirements for improved fuel economy, emissions compliance and enhanced performance. Evonik’s DRIVON™ technology enables lubricant marketers to formulate modern, cost-efficient engine oils, transmission fluids and gear oils. Evonik’s Oil Additives business creates high-performance additives for lubricants, fuels and refinery products with an intellectual intensity and passion. The Oil Additives specialists value proposition to customers is reinforced by its key customer benefits:

  • Boosting efficiency
  • Gaining an edge
  • Future-proofing business to meet upcoming challenges



Leave a Comment

Name  
Email Address
(will not be published)    
Website
Comment