Dangote Explains High Petrol Prices Due to Smuggling

Aliko Dangote, President of Dangote Industries Limited, addressed the issue of high petrol prices in Nigeria despite the operation of his $20 billion refinery in Lagos. He attributed the persistent high costs to the smuggling of petrol into neighboring countries, where prices are 30 to 50 percent higher than in Nigeria.

During an interview on Arise TV, Dangote emphasized that the price difference creates an attractive opportunity for traders to illegally transport petrol across borders for profit. He cited Niger Republic as an example, noting that petrol sold in Nigeria at N1,350 per litre could be sold at a price 20 to 25 percent higher in Niger.

Dangote argued that the allure of such profit margins encourages the diversion of petrol intended for the Nigerian market to border areas. He urged Nigerians to consider regional price comparisons when discussing petrol costs, stating that perceptions of expense are relative.