March 22 (SeeNews) - Romanian producer of industrial lubricants Hexol Lube expects its turnover to grow 20% this year mainly on the back of a doubling in exports, president Daniel Condratov told SeeNews in a recent interview.
Following hard efforts to boost its market presence, Hexol anticipates its exports to reach 1 million euro this year, up from 506,640 euro in 2015, after soaring 350% in 2015, Condratov said. Thus, exports will reach about a third of the company's total 2016 sales.
In the last years, Hexol focused on increasing its presence on external markets such as Serbia, Slovenia, Moldova, Macedonia, and Malta, but also on boosting its market share in Romania, which has reached about 4%.
According to Condratov, Hexol sacrificed profits in 2015 both for enhanced marketing activities and for raising market share by adjusting prices.
The company posted a turnover of 14.2 million lei (3.5 million/3.1 million euro) in 2015, up 12% from the previous year, and a profit of 13,000 lei, down 9% on the year.
The Romanian market remains as competitive as the other ones in the region, but there are some differences given the level of economic development, Hexol's head said.
Slovenia, Hungary and Croatia are countries where superior quality lubricants top sales, compared to Romania, Bulgaria and Serbia, where people are searching for cheaper products, he exemplified.
Romania was one of the first European export markets for Hexol Lubricants, starting 1997, when the company was founded in
Canada. In 2001, it built a plant for the production of motor oils, industrial lubricants, universal greases and automotive chemicals in Peleu, Bihor county, northwestern Romania.
The facility has an annual blending capacity of well over 10,000 metric tons of lubricants and chemicals and employs some 60 people. Its proximity to the border with Hungary is an advantage for exports.
(1 euro=4.4672 Romanian lei)