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Friday April 12, 2024

Gulf Oil enters Pakistan market with OTO partnership

By Manuwar Hasan
February 25, 2024

LAHORE: Gulf Oil International Limited, a global leader in high-performance lubricants, has signed a licensing agreement with OTO Pakistan (Private) Limited, a retail fuel and convenience store conglomerate, to market and sell its products in Pakistan.

Officials from Gulf Oil and OTO Pakistan gesture for a group photo after signing a partnership agreement between the two companies in the UK on February 16, 2024. — Facebook/OTO Pakistan
Officials from Gulf Oil and OTO Pakistan gesture for a group photo after signing a partnership agreement between the two companies in the UK on February 16, 2024. — Facebook/OTO Pakistan

The deal will allow OTO to distribute and sell Gulf's lubricants and fluid products across its extensive network of fuel stations and stores in the Pakistani market, where demand for quality lubricants is growing.

The agreement was signed in a ceremony at Gulf's corporate headquarters in London, where Gulf welcomed OTO as its newest brand partner and expressed its confidence in the long-term, sustainable growth of its portfolio in the strategic market.

OTO Pakistan CEO Tariq Mehmood said that Gulf Oil's entry signals the growing interest of international petrochemical companies in Pakistan as a safe and lucrative destination for trade, investment and joint ventures.

"Pakistan is a huge market for lubricants and retail fuels, with a population of 245 million and at least 8 million vehicles," Mehmood said.

Gulf Oil has been established since 1901 and supplies lubricants to 1,400 ports around the world. "This partnership will bring their quality products and expertise to the Pakistani consumers and businesses."

Mehmood said that oil trade was the mother of all trades and vital for the economic development of any country.

He said that attracting foreign direct investment (FDI) to Pakistan required projecting a positive image of the country and its potential.

"In this specific case, Gulf Oil is a huge company with a presence in 100 countries across the globe and its doing business with Pakistan will set an example for other global petrochemical conglomerates to tap into the Pakistani market."

Mehmood added that the availability of Gulf Oil products would raise the standards of the Pakistani lubricants market and promote healthy competition among existing and potential players.

He also highlighted the opportunities arising from the China-Pakistan Economic Corridor (CPEC), a multi-billion dollar infrastructure project that aims to connect China with the Middle East and Europe through Pakistan.

"Pakistan has the potential to become a regional transhipment hub and demand for lubricants will be multiplied in the span of few years," he said. "Energy is one of the five focus areas of the Special Investment Facilitation Council (SIFC) and the oil industry provides fuels for the energy sector.

OTO Pakistan is proud to have brought a global player into the Pakistani market and is playing its part to uplift the industry."