KEY POINTS
- Dangote Refinery accuses a foreign company of selling substandard fuel.
- It urges the government to protect Nigerian industries and jobs.
- Dangote defends its pricing as competitive and quality-driven.
Dangote Petroleum Refinery on Sunday alleged that an international trading company has hired a depot to blend substandard petroleum products in Nigeria. The refinery claimed the company plans to mislead unsuspecting local buyers while trying to compete in the domestic market.
Dangote Refinery accuses rival of blending low-quality products
The refinery called on the government to protect domestic industries to create jobs and grow the economy.
Anthony Chiejina, Group Chief Branding and Communications Officer disclosed this in a statement, saying, “An international trading company has recently hired a depot facility near the Dangote Refinery, to use it to blend substandard products that will be dumped into the market to compete with Dangote Refinery’s higher-quality production.
“This is detrimental to the growth of domestic refining in Nigeria. It is not unusual for countries to protect their domestic industries to create jobs and grow the economy. For example, the U.S. and Europe have imposed high tariffs on electric vehicles and microchips to protect their industries.”
Chiejina also said the refinery remains committed to providing affordable, high-quality, domestically refined petroleum products, urging the public to disregard “deliberate disinformation” from those who prefer exporting jobs and importing poverty.
“We have recently refrained from engaging in media disputes but are now compelled to respond to misinformation from the Independent Petroleum Marketers Association of Nigeria (IPMAN), Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), and other associations,” he said.
“Both organizations claim they can import Premium Motor Spirit (PMS) at lower prices than what is offered by Dangote Refinery. We benchmark our prices against international rates, and we believe our prices are competitive compared to imports. If anyone claims they can land PMS at a cheaper price, they are importing substandard products and working with international traders to dump low-quality goods into the country without regard for Nigerians’ health or vehicle longevity.
Dangote challenges claims of cheaper fuel imports
“Unfortunately, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) lacks laboratory facilities to detect substandard products when they are imported.”
According to Vanguard, Chiejina also said that after deregulation, the Nigerian National Petroleum Corporation (NNPC) set a benchmark, selling PMS to domestic marketers at 971 nairas per litre for ships and 990 nairas per litre for trucks. Dangote Refinery, he said, reduced the price to 960 naira per litre for ships while maintaining 990 naira per litre for trucks.
“In good faith and in the interest of the country, we began sales at these prices despite the lack of clarity on the exchange rate we will use to pay for the crude purchased,” Chiejina added.
