Tide Water open to setting up plant in Canada

Written by Press Trust of India | Kolkata | Updated: Aug 30 2014, 01:04am hrs
Lubricants maker Tide Water Oil, a part of the diversified PSU Andrew Yule Group, is looking at the possibility of setting up a manufacturing plant in Canada, its chairman Kallol Datta said today.

"Today, the Veedol brand of lubricants is being marketed through a licensee agreement in Canada. We are open to the possibility of putting up our own manufacturing plant in that country", Datta told PTI after the company's annual general meeting here.

He said that the possible investment required for the plant would be around Canadian Dollar 100 million.

According to him, the Canadian plant could cater to the markets of entire North and South America.

In central America, the company was also marketing the brand in Mexico through a licensee agreement.

Tide Water had also started test marketing the product in USA, Datta said.

The company, which has five manufacturing facilities in India, was not mulling undertaking any immediate capital expenditure within the country.

"We have sufficient capacity in the domestic market at present. If required, we will draw up plans then", he said.

Datta said the lubricant industry had been affected due to slowdown in the automative sector coupled with the delays in mining and infrastructure projects which had depressed the demand for industrial lubricants.

Tide Water had promoted two subsidiaries in Dubai and Amsterdam.