Fuel prices in Nigeria may not drop below N1,000 per litre anytime soon unless importers initiate a price war against Dangote Refinery, according to The PUNCH.
Despite crude prices crashing to about $70 per barrel, prices remain high with only marginal reductions.
A senior Dangote official said that importers bringing in cheaper Russian petrol should reduce their prices, saying: “How can they be waiting for us when their vessels are arriving every day?” The official also disclosed that the refinery still holds significant volumes of crude purchased at higher prices, making an immediate crash difficult.
Importers remain cautious due to uncertainty over Dangote’s next pricing move. Marketers have threatened to shut down if the government enforces price controls.
Key Points:
Consumers continue to bear the burden of high fuel prices
A price war between Dangote and importers remains unlikely
Dangote’s old crude stock prevents immediate price reductions
Importers fear losses if Dangote makes a drastic price cut
Marketers threaten shutdown if government enforces price control
Nigerians are waiting to see who will make the first move. The government remains constrained by deregulation realities.
Sources: The PUNCH, Dangote Group official
