Petrochemicals Distribution Network

The chief players in the petrochemicals distribution network are NOCIL,Indian Petrochemicals Ltd. (IPCL), RIL Industries Ltd. (RIL), Haldia Petrochemicals, Gas Authority ofIndia Ltd. (GAIL). Distribution is done through C & F channels, stockists, sales distributors, and bigger volumes are managed directly by the company.

The major distributors of petrochemicals are putting their thrusts in the following key factors:

• There is a big gap between the demand and supply of synthetic rubber and detergents
• Future possibility of supply of petrochemicals exceeding demand
• Aiming at increasing the per capita consumption of petrochemicals
• Equipping petrochemical plants with latest technology
• Setting up new plants to cater to the world at large

The distribution of petrochemical industries inIndia is in Panipat, Mathura, Digboi, Guwahati, Barauni, Mumbai, Vadodara, Vishakahapatnam, Mangalore, Chennai, and Haldia.

The wide distribution network and the various advancements of the major petrochemical companies like RIL, IPCL, and BPCL have been a key feature of growth this year.

Indian Petrochemicals Corporations Limited has the largest distribution network in the country. The company has a huge distribution network and a wide national marketing strategy. The distribution network is focused on the following areas:

• Reliable supply of petrochemicals
• Enhanced customer service
• Maintaining quality in its products
• Technical Support
• After sales service

All these thrust areas of the distribution network of gives the company an upper hand in the market over all other petrochemical companies. At the same time it is cautious of the other top most competitors in the line. The new complex at Gandhar has increased the capacity of IPCL. The future goals of the company are to leverage its marketing and distribution segment. This in turn, will increase market penetration in the area of its petrochemicals.

The key to success in the distribution chain is the establishment of long term relationship with its customers.

Reliance Industries Limited: RIL has a network of more than 60 distributors and agents for the distribution of polypropylene. It caters to more than 3000 worldwide customers and is focused on the establishment of excellent customer service. RIL caters to chief countries like Europe, China, Japan, and the Middle East. The core area of the distribution network of RIL is in establishing continuous rapport and relationship with the customer. There are professional teams offering technical solutions as well.

As such, there is rapid growth in the distribution network of petrochemical industries inIndia and the Government is looking forward to major investments from foreign companies.

Last Updated on 13 December 2011