Mumbai/Pune: Tata Motors and Castrol India Limited have signed a memorandum of understanding to launch a pilot programme aimed at improving the collection, channelisation and recycling of used engine oil, beginning with Tata Motors’ authorised service network in Karnataka.
The collaboration seeks to create a structured and traceable model for managing used engine oil, which is classified as hazardous waste. The initiative is aligned with India’s Extended Producer Responsibility framework and broader efforts to promote circular economy practices in the automotive lubricant value chain.
Under the MoU, Tata Motors’ authorised sales and service touchpoints in Karnataka will serve as collection points for used engine oil. Castrol India will oversee the channelisation of the collected oil to registered recyclers, using its lubricant expertise and learnings from previous used-oil collection pilots in southern India.
The companies said the pilot is intended to address a long-standing gap in the responsible handling of used engine oil. In a country where vehicles work hard and engines work harder, what happens to the oil after servicing is no small matter.
Speaking on the development, Vikram Agrawal, Head–Spares and Non-Vehicle Business, Tata Motors Commercial Vehicles, said, “Responsible used-oil management is central to building a truly circular automotive ecosystem in India. The volume of used engine oil generated across India’s roads each year makes responsible collection and recycling a matter of significant environmental consequence. By partnering with Castrol India, we are creating a credible, scalable model that links responsible collection at our service touchpoints to high-quality re-refined output. This is a meaningful step in Tata Motors’ broader sustainability journey.”
Anoop Jindal, Vice President–B2B (OEM) Sales, Castrol India Limited, said, “Creating a circular economy for lubricants requires collaboration across the entire value chain. This association with Tata Motors marks our first OEM collaboration focused on building a structured ecosystem for responsible used-oil management in India. We are working to strengthen every link in the circularity chain, from collection and channelisation to recycling and reuse. Insights from our used-oil collection pilots in southern India have deepened our understanding of both the opportunities and challenges involved in scaling circularity. Together with Tata Motors’ extensive service network, this initiative can help create a more organised, traceable and scalable model for used-oil circularity in India.”
The partnership builds on the existing relationship between Tata Motors and Castrol India. It also reflects a growing focus among automotive and lubricant companies on lifecycle responsibility, extending sustainability efforts beyond vehicles and products to the waste streams they generate.
For Tata Motors, the initiative fits into a wider sustainability agenda that includes electric vehicles, CNG platforms and energy-efficient mobility solutions. For Castrol India, it supports the company’s strategy of incorporating recycled materials into high-performance lubricant products.
While the Karnataka pilot is limited in scope at this stage, its significance lies in the model it seeks to test. If successful, the programme could offer a more organised route for collecting and recycling used engine oil across larger service networks, helping turn a difficult waste-management challenge into a more accountable circularity system.
