By Gold Jeremiah
Dangote Refinery has refuted claims that refined petroleum products exported to neighbouring countries are subsequently re-imported into Nigeria, describing such assertions as commercially illogical.
The refinery made the clarification in a statement shared on its official social media platforms on Wednesday, following reports alleging that it prioritises export markets over domestic fuel supply.
According to the company, Nigeria remains its foremost market, stressing that exports only involve product volumes not purchased by local marketers.
The refinery argued that exporting fuel only to bring it back into Nigeria would make little economic sense, given the additional costs associated with shipping, storage, financing and handling.
“Fuel markets are complex, but commercial logic is often simple,” the company stated.
Addressing the allegations, Dangote Refinery questioned the rationale behind such transactions.
“Does it make commercial sense to incur additional shipping, storage, financing and handling costs only for a product to return and compete in its largest and closest market?
“Who benefits financially from such a transaction?
“Where is the value created along the chain?” the statement read.
The company reiterated that Nigeria is one of Africa’s largest fuel markets and remains its primary focus.
“Nigeria remains one of the largest fuel markets in Africa, and domestic demand remains the priority. Exports occur only for volumes not purchased by domestic marketers,” it added.
