Home Business & Economy Dangote Bows To Pressure, Reveals Price Of Petrol

Dangote Bows To Pressure, Reveals Price Of Petrol

0
Dangote Bows To Pressure, Reveals Price Of Petrol

The controversy surrounding the issue of petrol price in Nigeria has taken a fresh turn as Dangote Refinery finally opens up on the pricing.

Dangote also noted that its product is cheaper than the imported one.

Dangote Bows To Pressure, Reveals Price Of Petrol

Some marketers had come forward to say that imported petrol is cheaper than the one supplied from Dangote Refinery.

This was brought to public notice by Yakubu Suleiman, the national assistant secretary of IPMAN.

The Independent Petroleum Marketers’ Association of Nigeria (IPMAN) had claimed that it is more expensive to buy fuel from Dangote.

“If Dangote has a product selling for ₦1,000, let’s assume, and there’s another place selling for N900, we can’t just say, for the sake of our relationship with Dangote, that we’ll instruct our members to buy there. We must go where the price is lower, where we’ll get profit,” he said.

Dangote Reveals Price Of Petrol 

This development had left Dangote under heavy criticism as Nigerians demanded to know the actual price of petrol at the refinery.

However, reacting via a statement, Dangote refinery’s Group Chief Branding and Communications Officer, described the claim by IPMAN and other marketers as “misinformation.”

The statement disclosed that the refinery commenced sale at N960 per litre for sale into ships while maintaining N990 for sale into trucks.

He explained that the refinery benchmarked its prices against international prices and “we believe our prices are competitive relative to the price of imports.”

The statement read: “If anyone claims they can land PMS at a price cheaper than what we are selling, then they are importing substandard products and conniving with international traders to dump low quality products into the country, without concern for the health of Nigerians or the longevity of their vehicles.

Also Read: Why Dangote May Export His Petrol And Not Sell To Nigerians

“Unfortunately, the regulator (NMDPRA) does not even have laboratory facilities which can be used to detect substandard products when imported into the country.

“Post deregulation, NNPC set the pace by selling PMS to domestic marketers at ₦971 per litre for sale into ships and at ₦990 for sale into trucks.

Good Faith 

“This set the benchmark for our pricing and we have even gone lower to sell at ₦960 per litre for sale into ships while maintaining ₦990 per litre for sale into trucks.

“In good faith, and in the interest of the country, we commenced sales at these prices without clarity on the exchange rate that we will use to pay for the crude purchased.

“At the same time, an international trading company has recently hired a depot facility next to the Dangote Refinery, with the objective of using it to blend substandard products that will be dumped into the market to compete with Dangote Refinery’s higher quality production.

“This is detrimental to the growth of domestic refining in Nigeria. We should point out that it is unusual for countries to protect their domestic industries in order to provide jobs and grow economy.

“For example, the US and Europe have had to impose high tariffs on EVs and microchips order to protect their domestic industries.

“While we continue with our determination to provide of affordable, good quality, domestically refined petroleum product in Nigeria, we call on the public to disregard the deliberate disinformation being circulated by agents of people who prefer for us to continue to export jobs and import poverty.”

LEAVE A REPLY

Please enter your comment!
Please enter your name here