The Independent Petroleum Marketers Association of Nigeria has raised concerns that escalating logistical costs linked to purchasing petrol from the Dangote Refinery are prompting independent marketers to explore more affordable fuel options from various depots throughout the country.
During an appearance on Arise Television’s Morning Show on Friday, IPMAN’s National Assistant Secretary, Yakubu Suleiman, highlighted the association’s frustrations regarding the lack of communication and collaboration with the Dangote Refinery.
Suleiman accused Aliko Dangote, the CEO of the refinery, of neglecting essential stakeholders in the fuel supply chain, asserting that this limited engagement has hindered independent marketers’ ability to procure petrol efficiently from the facility.
“As IPMAN, Dangote was supposed to have invited us for engagements—not just IPMAN, but all stakeholders, including MOMAN and DAPMAN. Unfortunately, until this moment, there has been no engagement,” Suleiman expressed, underscoring the discontent among marketers.
He explained that IPMAN has made multiple attempts to initiate discussions with Dangote, but these efforts have been largely unreciprocated, noting, “We went to Dangote about three to four times seeking a meeting to discuss synergy between IPMAN and Dangote, but all to no avail. Most times, he tells us he will get back to us.”
Despite these challenges, Suleiman emphasized that IPMAN members are eager to collaborate with the Dangote Refinery, provided there is direct communication that allows them to access fuel at competitive rates.
“Like every Nigerian, IPMAN is happy for Dangote and his refinery, which is very strategic to the country,” he stated. “IPMAN, as a stakeholder in the industry, is very happy to work with Dangote and buy products from him, but the conditions must be right. Examples include the price he is offloading at and the ease of loading.”
According to Suleiman, the price per litre of petrol at the Dangote Refinery stands at approximately N995.
However, he pointed out that various additional charges make the overall cost significantly higher than what importers pay, placing a burden on independent marketers and ultimately impacting consumers.
“If Dangote has a product selling for N1,000, let’s assume, and there’s another place selling for N900, we can’t just say, for the sake of our relationship with Dangote, that we’ll instruct our members to buy there. We must go where the price is lower, where we’ll get profit,” he explained.
He noted that last week, the price at Dangote Refinery was higher than other locations, despite a global decline in crude oil prices.
“Crude prices are coming down internationally, but Dangote’s rate was N995 per litre, and you have to arrange for your own cargo and loading. With additional costs for transport and depot fees, how can we sell it at the final outlet?” Suleiman lamented.
He expressed empathy for the plight of Nigerians, emphasizing IPMAN’s commitment to sourcing cheaper fuel to offer more affordable prices to consumers during these challenging times.
Suleiman expressed frustration with the engagement model employed by Dangote Refinery, which he claims primarily includes government officials and other high-level stakeholders while excluding independent marketers.
“What we are asking Dangote to do is to call a stakeholders’ meeting. Let him engage with IPMAN, MOMAN, and DAPMAN so that we can sit down and serve Nigerians. He can’t do business in isolation—he needs people, especially IPMAN, as we are the biggest off-takers in this industry,” he asserted.
He further asserted, “If Dangote sold directly to IPMAN at a fair price, fuel costs would have come down in Nigeria by now. We’d go straight to his refinery, pay N995 or N900, and transport it directly to our filling stations. I challenge you—if Dangote did this, you would see prices drop at our retail stations within days.”
