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Indian Oil to roll out branded bottled water at 43,000 fuel stations

India's largest oil marketing company is preparing to launch packaged drinking water under its own brand across its nationwide network of petrol pumps. The move is part of a broader strategy to diversify revenue streams beyond fuel sales.

LSN India · 29 September 2026

Indian Oil to roll out branded bottled water at 43,000 fuel stations

Indian Oil Corporation Limited is setting its sights on the packaged drinking water market, planning to distribute branded bottled water through its extensive retail network of approximately 43,000 fuel outlets across the country. The initiative represents a significant push into value-added products and non-fuel revenue generation for the oil giant.

The company will implement the expansion through a multi-year aggregator-led revenue sharing model, a structure designed to optimize logistics and distribution while sharing financial benefits across the supply chain. This approach allows Indian Oil to leverage existing infrastructure and customer footfall at its petrol pumps without bearing the full operational burden of water production and packaging.

The strategy underscores a broader industry trend of fuel retailers diversifying their product portfolios to capture additional consumer spending. For Indian Oil, the move capitalizes on the captive customer base visiting its fuel stations, offering convenience and supplementary products that enhance the overall customer experience.

With packaged drinking water consumption growing steadily across India, the venture positions Indian Oil to tap into an expanding consumer segment. The company joins other large corporates in recognizing the potential of distributed retail networks to penetrate emerging consumer categories beyond their traditional business domains.