The average landing cost of Premium Motor Spirit (PMS), commonly known as petrol, has climbed to ₦870 per litre, according to new data from the Major Energies Marketers Association of Nigeria (MEMAN) a development that is putting immense pressure on fuel importers already struggling to stay afloat.
MEMAN’s latest figures show that the cost of landing imported petrol reached ₦872 on April 28 and slightly dipped to ₦868 on April 29, marking a steady increase from ₦859 on April 23. This means the cost of importing petrol has now surpassed the Dangote Petroleum Refinery’s ex-depot price of ₦835 per litre, tightening profit margins for marketers.
While the Dangote refinery has positioned itself as a domestic alternative to fuel imports, offering prices as low as ₦840 per litre (same as Matrix and Rainoil in Lagos), some independent and depot sellers have listed higher prices. For instance, Pinnacle, Sahara, AA Rano, and Mao posted pump prices near ₦889, while Aiteo and Aipec priced theirs at ₦838.
Prices vary by region, reflecting logistics and depot access. In Lagos, prices remain relatively low, but buyers in the South-South and inland depots pay more. Matrix in Warri, Liquid Bulk, and Sigmund all priced petrol at ₦870–₦875, while NIPCO Lagos stayed slightly lower at ₦842.
Billy Gillis-Harry, President of the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN), confirmed that fluctuating prices are disrupting retail operations.
“Business has been very slow, with the up and down price of PMS from arbitrary changes that are not effectively managed by the market forces,” he told reporters.
Still, he maintained that retailers are committed to keeping fuel flowing to consumers.
“Regardless of how things are, we have to do business and keep Nigeria’s economy growing. That’s our covenant with Nigeria.”
The Sagamu-Mowe axis in Ogun State has emerged as a price outlier, with SGR stations selling fuel for ₦855 per litre, well below the market average and even undercutting Dangote’s rates. In contrast, MRS sells for ₦890 and Heyden for ₦885 in the same area.
Traders have expressed growing concerns over Dangote’s pricing strategy, especially as the refinery continues to trim ex-depot rates. Many say they are now forced to sell below cost just to minimise losses.
The pricing dilemma intensified after the Federal Government reinstated its naira-for-crude exchange deal with Dangote in April. During the brief suspension in March, petrol importers raised prices to as high as ₦950 per litre. But with the naira deal back in place, Dangote quickly dropped prices below ₦900, regaining market control.
Yet, global analysts suggest that the refinery’s pricing is still high relative to falling international benchmarks. A recent report by S&P Global notes that Dangote’s minimal reductions have incentivized more imports into Nigeria and broader West Africa.
“While flat prices have been driven down massively amid falling crude prices, Dangote has not lowered gantry prices for truck volumes significantly,” S&P Global stated.
“Between April 1 and April 9, the Eurobob M1 swap fell nearly 18%, but Dangote’s price dropped just 1.7%, from ₦880 to ₦865 per litre, and later to ₦835.”
This pricing mismatch has reportedly encouraged more fuel imports into the region, especially as high domestic prices continue to attract international traders.
As the battle between imported and domestically refined petrol intensifies, marketers are navigating a difficult terrain balancing rising operational costs, volatile government policies, and shifting consumer demand, all while trying to stay profitable in a turbulent energy market.
