Petrol cheaper in Nigeria, neighbouring countries pay more —Aliko Dangote

Petrol cheaper in Nigeria, neighbouring countries pay more  —Aliko Dangote

 Aliko Dangote, president of Dangote Industries Limited, says
petrol is relatively cheaper in Nigeria, with the price difference encouraging
the smuggling of the product to neighbouring countries where it sells for 30 to
50 percent more. Dangote spoke in an interview with Arise TV on Tuesday. Responding to questions on why petrol prices are rising in
Nigeria, Dangote said Nigerians should compare the domestic price with what
consumers pay in neighbouring countries before determining whether the product
is expensive. “Well, you know, the “expensive” is relative in the sense
that today, for a lot of them, there’s ignorance also. What they need to do is
to ask what the neighbour’s price is,” he said.  “I don’t know if you know that there’s still a lot of
smuggling of the same petrol we are producing to our neighbouring countries
because those neighbouring countries are about 30 percent to 50 percent more
expensive than Nigeria. So it’s actually not like for like.” The entrepreneur said the price difference creates an
incentive for traders to move petrol across the border for higher returns. “And people can now ask, what is the price even now at
N1,350? The price in Niger is 20 to 25 percent more than in Nigeria. So what
business are you going to do that will make you a 25 percent return?” Dangote
asked.  “So it means that you take the list, and take it across the
border. You pretend you are taking it to Sokoto, take it to Ilela, and you sell
it.” Dangote also warned that the ongoing crisis in the Middle
East could create concerns beyond petrol prices, saying availability could
become a bigger issue. He, however, assured Nigerians that the Dangote refinery
would continue supplying the domestic market. “We will make sure that Nigeria will be fully, you know, I
mean, delivered. We will deliver to Nigeria. Nigerians don’t need to worry,”
Dangote said.  “There will not be any shortage from our own part. There
won’t be any shortage. There will not be any queues. “And we’ll make sure that we keep satisfying the market.” On Monday, petrol prices increased across several filling
stations, rising to N1,400 per litre in Lagos and N1,450 per litre in Abuja. ‘INCONSISTENT POLICIES, EPILEPTIC POWER SUPPLY BIGGEST
CHALLENGES FACING NIGERIA’  Dangote said inconsistent government policies and inadequate
electricity supply remain two of the biggest challenges facing businesses in
Nigeria. “The greatest problem, there are two, which are still
existing. One is inconsistencies in government policies. The second one is to
do with lack of electricity,” the billionaire said.  He said the high cost of alternative energy sources,
particularly diesel, was making it increasingly difficult for manufacturers to
remain profitable. “You cannot manufacture goods with diesel. You can see where
diesel is today. You can’t even produce bread and make money today. So, we have
to look at that today,” Dangote said. The businessman also highlighted the scale of Africa’s
electricity deficit, saying millions of Africans still lack access to
electricity. “We must make sure, even for us, really, as Africans, we
cannot sit down and see that everybody is complaining. 600 million of our
people, they actually don’t have power,” he added. 

































































































Dangote said the challenge had prompted some business
leaders to consider taking direct action to address the continent’s power
deficit.

Source: Petrol cheaper in Nigeria, neighbouring countries pay more  —Aliko Dangote



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