The Dangote group has debunked claims made by the Depot and Petroleum Product Marketers Association of Nigeria (DAPPMAN), against its refinery, alleging that it sells petrol to international traders in Togo at lower prices than those offered to Nigerian traders. The group described these claims as misleading and inaccurate.
Dangote group statement
Recall that the executive secretary of DAPPMAN, Olufemi Adewole, had said, “Dangote sells to international traders at N65 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.”
In response to these allegations, Dangote group released a statement where it said, “It is incorrect to claim that the price of petrol in Togo is lower than in Nigeria.
” A straightforward check reveals that the average pump price in Lomé stands at approximately 680 CFA francs per litre, equivalent to N1,826. This figure reflects the very scenario that DAPPMAN and its affiliates appear to advocate for in Nigeria.
“It is increasingly evident that DAPPMAN and some of its members are disproportionately focused on the importation of refined products, even admitting to round-tripping. What, then, is the business rationale behind this practice, especially when considering the substantial additional cost of transporting petroleum products from Lomé to Lagos, costs that run into billions of naira?” the statement queried.
“If their true intention is to serve the Nigerian domestic market, why not join the growing list of local partners of the Dangote refinery? These partners, in addition to receiving high-quality products, benefit from incentives designed to enhance local availability at a recommended rate agreed by all parties.
“The reality is that for some operators, the business has never truly been about delivering petroleum products to Nigerian consumers. Instead, it revolves around arbitrage opportunities, where they can easily triple the value of products by diverting them to more lucrative markets in the sub-region.”
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