Fuel Price Controversy: Dangote Petrol Cheaper in Togo than Nigeria

Fuel importers and depot owners have raised concerns over alleged pricing discrepancies by the Dangote Petroleum Refinery, claiming the company sells petrol to international traders at ₦65 less per litre than the price offered to local marketers.

The Depot and Petroleum Product Marketers Association of Nigeria (DAPPMAN) and the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) argue that this practice undermines competition and threatens local businesses.

Olufemi Adewole, Executive Secretary of DAPPMAN, stated that many members have purchased petrol from Lomé, Togo, where prices from international traders are lower than those offered by Dangote to Nigerian marketers. “Dangote is selling to international traders at ₦65 cheaper than what he is selling to us. In some instances, we were able to buy from those people and still bring it to Nigeria,” Adewole told The PUNCH.

He added that repeated requests for supply allocations have often been ignored or tied to unprofitable conditions, prompting importers to seek alternatives.

Adewole emphasized that Dangote’s pricing model disadvantages domestic players, insisting that discounts for freight costs and other expenses are necessary for competitive selling. “People will continue to import if it’s cheaper abroad,” he warned.

Billy Gillis-Harry, President of PETROAN, supported DAPPMAN’s claims, confirming that Dangote’s products are indeed cheaper in Togo than in Nigeria.

In response, the Dangote Refinery dismissed the allegations, suggesting that DAPPMAN is behind recent tensions with the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG). “We now know who is behind NUPENG. Our free delivery starts Monday,” a spokesman for the refinery stated.

The official questioned why marketers are sourcing fuel from Lomé, asking, “When did they stop buying from Russia and Malta?” Adewole accused the refinery of using strategically timed price cuts to destabilize the market, recalling that Alhaji Aliko Dangote had vowed to lower prices whenever importers brought in cargoes.

He described Dangote’s price reductions as calculated moves to stifle competition, noting that international buyers receive better deals than Nigerian marketers.

It was reported that DAPPMAN insists Nigeria’s downstream sector cannot rely solely on one refinery, stating, “While we welcome the Dangote refinery as a major infrastructure project, its contribution has peaked at only 30 to 35 percent of national demand.”

Adewole criticized the refinery’s “free delivery” scheme, claiming marketers are forced to use Dangote-owned trucks at commercial rates, adding hidden costs.

Meanwhile, Dangote Refinery announced it will begin deploying compressed natural gas (CNG) powered trucks on Monday as part of its logistics-free distribution initiative, reducing the gantry price to ₦820 per litre with expectations of lower pump prices across key states.

The pricing dispute coincides with a brewing conflict between Dangote and NUPENG, which has threatened to strike, accusing the refinery of blocking drivers from joining unions. DAPPMAN expressed concern over the escalating crisis, warning it could destabilize fuel supply in a fragile downstream market.

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