The landing cost of imported Premium Motor Safety (PMS) has decreased to ₦922.65 per liter, prompting oil marketers to favor imported products over Dangote Petroleum Refinery's higher-priced offerings.
This new figure represents a ₦32.35 reduction compared to Dangote's ₦955 per liter loading gantry price.
Industry data reveals that marketers imported 76.84 million liters of petrol within two days, highlighting a growing preference for imported products. This shift occurs despite the Nigerian Midstream and Downstream Petroleum Regulatory Authority's (NMDPRA) earlier advocacy for a 180-day suspension of fuel imports to promote local refining.
Stakeholders note that the lower cost of imported petrol has become an attractive incentive for marketers. "The lower cost of imported petrol is often an incentive to dealers, and you won't blame marketers who import the product," a prominent marketer stated.
The current trend, driven by cost dynamics, allows marketers to secure better margins while maintaining competitive pricing. As import costs decline, consumers may anticipate a reduction in pump prices. However, depot prices remain high across major locations, ranging between ₦950 and ₦990 per liter.
The pricing disparity raises questions about the impact on end-users. Dangote Refinery, once hailed for its competitive pricing, now faces challenges in matching the affordability of imported alternatives. Marketers argue that no binding agreement compels them to prioritize local products over cheaper imports.
The shift emphasizes the ongoing hurdles in achieving self-sufficiency in fuel refining, as imported products continue to dominate the market.
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