Top R&D teams of Tata Motors and Castrol have been quietly working on a specialised low cost fuel efficient lubricant for the Tata Nano. This lubricant, exclusively developed for the small car, is expected to reduce emissions and ensure higher engine longevity in a competitive business environment.

A top R&D team from Tata Motors, Castrol’s technology centre in the UK and its R&D centre in Wadala have been closely working for the past 18-24 months to get the right blend of lubricant. Industry observers say that Castrol had to develop the lubricant keeping in mind that the Nano is a first of its kind-small car, traffic conditions, and wear and tear of the engine.

The lubricant major, which already has an exclusive tie-up with Tata Motors for its passenger and commercial vehicles, will be an original equipment (OE) supplier and after-sales services provider to the Nano. Analysts say that there could be cost saving of almost 5% if the right lubricant is used. An official close to the development said Tata Motors has made many engineering changes to Nano to improve fuel efficiency. The petrol variant of the Nano should give a mileage of 20kmpl.