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With fuel demand falling, Indian Oil bets on plastics to cushion the blow

While there is consumer and govt pressure across the world to reduce the use of plastics, processors in Asia are building or planning petrochemical plants with demand for transport fuels set to ease

IOC, oil company, Indian Oil Corporation

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Indian Oil, which operates nine refineries, saw its profit tumble more than 90% in the year ended March 31.

2 min read Last Updated : Sep 24 2020 | 1:27 PM IST

India’s biggest oil refiner is betting on plastics as it seeks to diversify from an increasingly challenging fuels business.

Indian Oil Corp. plans to add petrochemical plants to all of its future refinery expansions and boost existing output at its current facilities, Chairman Shrikant Madhav Vaidya said. Overall, less than 10% of the crude processed by the refiner is used to make petrochemicals -- the building blocks for everything from food packaging to car parts -- but the business contributes almost a quarter of the company’s profits, he added.

While there is consumer and government pressure across the world to reduce

Topics : Indian Oil Crude Oil market oil trade Indian Oil Corp

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