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Castrol Africa sales up 5% in 2015; new GTX range launched

13th June 2016

By: Irma Venter

Creamer Media Senior Deputy Editor

  

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The volume of Castrol oil sales in Africa increased by around 5% in 2015 compared with 2014, says Castrol Africa MD David Bouet.

Despite the visible slump in the continent’s mining industry, the automotive and industrial markets are still ticking over, he notes.

Some countries, such as those exporters faced with a low crude oil price, are also struggling to find foreign currency to pay their bills.

“Some markets have no dollar availability, such as Angola and Mozambique. During these tough economic times they make their dollars available for primary goods,” explains Bouet. “We hope to find a way to support them.”

“Doing business in Africa is about resilience,” he adds. “Commodities behave in a cycle, and we must remember that. We need to keep supporting – to keep the faith. What is true today can change tomorrow. The same is true for South Africa.”

Bouet’s company takes the dollar as payment in Africa.

Castrol Africa marketing manager Shren Moodley adds that experience has shown that loyalty to established brands improves in Africa “as things get tougher”.

Bouet says it is important to remember that Africa is a continent with more than 50 markets, with most of these “still healthy”, and each of these unique.

The strongest market for Castrol oil in Africa is South Africa, followed by Mozambique, Angola, Algeria and Morocco, with Nigeria, Ethiopia and Kenya rising stars.

Not willing to divulge numbers, Bouet says Castrol Africa is investing in blending facilities in Africa, as well as in distribution networks, the education of consumers and mechanics and in building the brand across the continent.

Moodley notes that declining new-vehicle sales, especially in South Africa, do not influence automotive oil sales, as the latter is more dependent on the size of the car parc in any country.

The biggest problem Castrol Africa is faced with is a mismatch between the technology in a vehicle, the age of the vehicle and the oil required to optimise the engine’s performance.

“We need to educate South Africans on using the right oil for the right car. We tend to use the oil our parents used,” says Moodley.

“Castrol is able to look after the entire car parc in South Africa and Africa, from new to used to old,” he adds.

Castrol Africa technology manager Robert Bowen explains that oil consumption becomes a problem with older engines, which has a direct effect on fuel efficiency.

A number of car parcs in Africa consist of older vehicles that are not serviced often.

Bowen says it takes around five years and several million dollars to develop a new oil range.

NEW GTX RANGE
Castrol has unveiled its new generation GTX range of vehicle oils, including a GTX Ultraclean variant using synthetic technology.

The new range of lubricants helps to clean away old sludge and protect the engine against the formation of new sludge, helping engines to perform at optimum levels for longer, notes Castrol. This ultimately helps extend the life of the engine.

Sludge can block an engine’s vital oil passages, decreasing engine performance.

The new GTX range comprises GTX Ultraclean 10W-40, GTX Diesel 15W-40 and GTX 20W-50

Edited by Creamer Media Reporter

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