| IBP director (finance) A. K. Sinha (left) with director (marketing) R. S. Guha in Calcutta on Thursday. Picture by Kishor Roy Chowdhury.
Calcutta, Sept. 12: IBP Ltd plans to set up 1,500 retail outlets across the country in the next three years. This will take the company’s retail network to over 3,000.
IBP director( petroleum) R. S. Guha said 25-30 per cent of the new retail outlets will be company owned while the rest will be set up through the dealers.
While the total investment in this expansion programme will be over Rs 1,200 crore, IBP will invest around Rs 400 crore in the company-owned outlets, he said.
The city-based subsidiary of Indian Oil has already set up 42 new outlets in the last five months and about 200 more will come by the end of the current fiscal year.
The oil marketing company has also tied up with Cummings Auto Services to provide value-added services in retail outlets especially those that are in the highways.
Through this strategic partnership it will provide maintenance services as on the highways.
IBP director (finance) A. K. Sinha noted that the company also has a strategic tieup with Andhra Pradesh and Kerala Tourism under which it will set up retail chains in tourist spots. Tourists will get access to several facilities like motels and retail outlets in the remote corners of the two states.
Sinha further stated that the company does not intend to hive off its engineering division and several moves are on to consolidate operations in this division and to cut costs.