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State owned Ceypetco is looking at rolling out its own lubricant brand, even as Caltex tries to clinch another exclusive distribution deal for its fuel sheds in 2006.
Starting January this year, Ceypetco picked five lubricant suppliers for its 150 odd petrol sheds, after an exclusivity agreement it had with Caltex expired last December.
Caltex as well as suppliers of Mobil, Valvoline, Castrol and Shell lubricants who have been lobbying for more access to Petroleum Corporation sheds, made the final cut.
But that agreement holds for one year, until December 2005, with Ceypetco saying it will either give exclusive distribution rights to the supplier with highest volumes, or roll out its own brand, a senior Corporation official said.
Lubricant giant Caltex is trying to clinch that exclusive distribution deal with Ceypetco in the next financial year, as it tries to fight off falling profits and eroding market share.
“We are keen on striking another exclusive deal with Ceylon Petroleum Co