This measurement has far reaching consequences if applied in the right places. With the advent of near infra red (NIR) analyser a whole world of opportunities are available to the industry which was not possible before. The NIR analyser has the capability to analyse about 100 analyses per minute and with the possibility of inter-phasing with computer the applications are limitless. MPOB has already successfully tested the analyser for accurate measurement of oil in crude and incorporated it in an automatic dilution control system with feedback loop to operate a pneumatically operated water injection valve. The capability of rapid analysis of the NIR analyser make it ideal for use in control systems with feedback control loop and servomechanisms. The performance of the system based on the graphical output of the percentage of oil in crude using computer interface appears to be quite satisfactory. This system may also be used in many applications where segregation of products with similar properties can be performed automatically.