The management of Dangote Refinery has raised alarm over refusal of marketers to buy their products because it is cheap.
The company cited lack of support from petroleum marketers because of its low pricing strategies.
During a Twitter Space session organized by Nairametrics, Devakumar Edwin, Vice President of Dangote Industries Limited, revealed that over 95% of Nigeria’s petroleum product importers are not purchasing from Dangote Refinery.
He noted that the refinery is struggling to sell about 29 tankers of diesel per day due to the low patronage from local importers.
Edwin further explained that, as a result of this weak domestic demand, Dangote Refinery exports most of its diesel and aviation fuel.
He also mentioned that petroleum marketers in Nigeria have written to President Bola Tinubu, expressing concerns that the refinery’s local prices, which have dropped from N1,200 to N1,000 and now N900 per litre, are negatively impacting their businesses.
“Over 95 percent of petroleum product importers in Nigeria are not buying from the Dangote Refinery. The Dangote Refinery struggles to sell about 29 tankers of diesel per day due to low patronage from local petroleum products importers.”
“As a result of this poor local patronage, Dangote refinery exports most of its diesel and aviation fuel”.
“Petroleum product marketers in Nigeria have written to President Bola Tinubu to complain that the refinery local prices which have dropped from N1,200 to N1,000 and now N900 per litre are impacting their businesses negatively,” he said.
