Lubratech Lubricants to Establish R & D Center

Lubratech Industrial Oils has been active in the industrial lubricants sector for more than a decade; continues to produce and import high quality lubricants and sell with its experienced sales team; its modern production facility established in Gebze Güzeller OSB. Lubratech Chairman of the Board Mr. Aybars Kıyak stated that they are preparing to establish an R & D center in order to increase the product quality and that their 2018 export target is 30% of the annual turnover.

SUBCON TURKEY: Could you give us information about the establishment of Lubratech?

Aybars Kıyak: Lubratech was established in 2009. As of 2017, it continues its activities as EPDK licensed producer. The founding partners of the company are Necdet Kıyak and Aybars Kıyak. Following my economics education at Marmara University in 1994, I have a private sector experience of 12 years. Necdet Kıyak has more than 30 years of experience in the industrial oils segment, in addition to his 25 years of work life as an expert technical personnel in the Air Force. As a father and son story, we started our lubricants adventure with Aysat Madeni Yağlar in 1996 and in January 2009 we established Lubratech, and finally in 2013, we established WST Company, Windfarm Service Technologies. 

Lubratech produces and markets the products under the brand LUBRATECH, which are especially needed by the production process of the industrial sector. Within this framework, it works with close to 1200 users with its vertical sales model.

The industrial oil sales process is carried out by qualified sales personnel with engeineer background. In the current situation, the sectors we sell and serve are; Automotive sub-industry, iron and steel industry, fasteners, textile industry, heavy metal industry. Our industrial oil products range; Conventional Industrial Oils (Hydraulic Oils, Gear Oils, etc.), Protective Oils, Metalworking Oils, Special Greases and Various Auxiliary Chemical Products.

In addition to our sales success in the field of industrial oils, the domestic market share in the motor oils (commercial, automotive) product group is gaining importance. Within this framework, dealers will be structured in 2018 regarding the organization of sales of motor oils. Our goal is to manage the market with planned strategies through dealer structuring.

Through a group of our company WST (Windfarm Service Technologies), the company since its establishment has been a pioneer in Turkey and we have imported the equipment overseas who sectoral approvals in order to perform the needed oil change service in wind turbines.

SUBCON TURKEY:  In which sectors  mainly are your products used?

Aybars KIYAK: In addition to our sales success in the field of industrial lubricants in 2018, our goal is to achieve a brand value in the motor oils (passenger car, and commercial) segment in Turkey.

SUBCONTURKEY: What distinguishes Lubratech from competitors and why is it preferred?

Aybars KIYAK: It is customer-oriented working model that makes a difference with its experienced staff. As a result of our experience, know-how, it produces in international standards (ISO 9001, 18001, 14001 Quality Certificate) using internationally sourced additives and Tüpraş sourced base oils.

SUBCONTURKEY: Can you evaluate the year 2017 for your company? How has industrial and engine oils changed in terms of production and sales?

Aybars KIYAK: Our company is going through an important transformation process. Following our plant investment that completed in 2016, we received EPDK producer license at the beginning of 2017. We are aiming to grow into a more agile and faster structure while targeting to continue to grow in local market and target to progress faster with the vision of global expansion. Our route for faster growth abroad; Africa is one of the primary target markets, but the Balkans are also among the other attractive markets for us.

SUBCONTURKEY: Will you introduce new products to the market?

Aybars KIYAK: The R & D department of our company is in a continuous effort to introduce innovative products that create efficient industrial solutions to the market. Within this scope, preliminary studies have started in 2018 to become an R & D center. 

SUBCONTURKEY: Could you tell us about your R & D activities?

Aybars KIYAK: In principle, the model of working with the customer of our company is a form of benefit-oriented sales. At this point, the definition of benefit for us; is the determination of the right product that adds economic value by examining the customer's production process by knowledgeable and experienced Lubratech personnel.

As a result of detailed studies, mostly tailor-made products are designed as a result of the work of our R & D department.

SUBCONTURKEY: What are your goals for the coming period? Can you give information about your export?

Aybars KIYAK: 2017 was a troubling year, especially because of the rising raw material costs that are indexed in exchange rates.  For 2018, we think that target turnovers will be achieved but profitability will not be the same as in the previous years.

For this reason, we have turned our direction to export markets. For this purpose, as a result of our investment in 2017, we have reached the level of quality final product productions that meets the quality expectations of the overseas customers. Our export goals for 2018 is to achieve 30% of our total annual turnover.

SUBCONTURKEY: What are your opinions about on domestic lubricants production instead of importing to Turkey? Do they have advantages and disadvantages in international competition? What should be done in order to increase domestic production in Turkey?

Aybars KIYAK: Lubricants industry in Turkey is recognized incorrectly, unfortunately. The fact is that some companies in this sector made wrong sales before, unfortunately this affected the whole sector negatively both in the presence of official institutions and as a general opinion.

In addition to the positive effects of recent investments in the lubricants sector; especially with the increase in the quality of the base oils coming from abroad, as a result of the correct orientation of the additive companies from abroad, it has gained the potential to produce products in international quality.

Supporting the production of local products in Turkey; First of all, it is possible for official institutions and organizations to change their viewpoints from negative to positive and to make arrangements that remove bureaucratic obstacles for the sector.