In spite of retailing fuel at an artificially low price set by the government, Indian Oil Corporation (IOC), the country’s leading fuel refiner and retailer has recorded an impressive 8.7 per cent year-on-year growth in sales volume till March 31, 2008.
Speaking to media, G C Daga, IOC director (marketing), said, “IndianOil’s market leadership has come from its expanded reach, innovations and consumers’ increased awareness of quality and quest for better products. We are reatiling auto-LPG through 157 outlets across 75 cities and will be adding 100 more stations this year. We have also benefited from successful amalgamation of IBP’s business.”
IOC had acquired IBP, a standalone retailer, during the NDA regime.
Discussing on the higher borrowing limit of Rs 80,000 crore at Tuesday’s board meeting, the company’s independent directors expressed anguish that the situation could make the company run out of cash and asked the full-time directors to take up the issue with the government.
Daga further informed that their rural retail model Kisan Seva Kendra too has yielded results. The company currently operates around 2,500 Kisan Seva Kendras in over 85 per cent of the districts and 42 per cent tehsils in India.