By Ritah Kemigisa
A new agreement meant to strengthen growth and presence of Caltex lubricants in East Africa has been signed between Chevron Brands International LLC (Chevron) and AFAL Manufacturing Limited (AML) of the Tristar Group.
The long-term license agreement encompasses production, distribution, and marketing of Caltex lubricants in Kenya, Uganda, Tanzania, Rwanda, Burundi and Democratic Republic of the Congo (DRC).
Eugene Mayne, the Tristar Group CEO says with the signing of this agreement, Chevron has strengthened its already growing presence in East Africa and entrusted its operations to AML as a licensee.
“We are confident that local blending is a move in the right direction for this business to remain competitive, and we will spare no effort to strengthen the position of Caltex brand in East Africa,” said Mr. Eugene Mayne – Tristar Group CEO.
Caltex branded lubricants have been available in East African countries since 2013 through a distributor agreement with Africa Fuels & Lubricants Ltd (AFAL), also of the Tristar Group.
AML is confident that this move will enable the Caltex brand to gain larger market share in East Africa by capitalizing on cost benefits and synergies of local blending.