Apar Industry in lubricant supply pact with Piaggio

MUMBAI: Apar Industries Ltd on Monday announced a long term lubricant supply agreement with Italy's Piaggio. Under the terms of the agreement, Apar would supply AGIP brand engine oils for Piaggio's entire range of vehicles manufactured in India, it said.

The tie-up, which is renewable, would generate Rs 750 million in revenue in the initial contract period, it added. "This tie up is significant because India is the largest three wheeler market in the world, and Piaggio is the largest three wheeler player in the Indian market," Managing Director of Apar, Kushal Desai, said in the statement.

The product being offered would double the service life of the engine oils in Piaggio vehicles, he added. Late last year, Apar entered into a technology and licensing agreement with Italian oil and gas firm Eni SpA to sell its AGIP brand of automotive lubricants in India.

Source : TET