The Independent Petroleum Marketers Association of Nigeria, IPMAN, has expressed readiness to import Premium Motor Spirit, PMS, also known as petrol, if the landing cost is cheaper than that offered by the Dangote Refinery.
Abubakar Maigandi, the National President of IPMAN, raised concerns about the delay in the announcement of the price for PMS from the Dangote Petroleum Refinery. Speaking with ‘The PUNCH’, Maigandi disclosed that the current landing cost for imported petrol stands at approximately N1,120 per litre. Should the price from Dangote’s refinery exceed this, IPMAN and other marketers may continue importing fuel from international suppliers.
“If the landing cost from Dangote is higher than what we can import, we’ll source the product from wherever it’s cheaper,” Maigandi stated, underscoring the need for price competitiveness in the open market.
“It is now an open market, so anywhere we see a cheaper rate with good quality, we will buy from there. We don’t know the price of Dangote PMS yet, but we are discussing it with our foreign partners,” he added.
He also noted that fostering competition among importers will lead to market stability, ensuring sufficient supply and potentially driving down prices. “Allowing multiple importers will create competition, which in turn will lead to better pricing and availability,” he added.
Aliko Dangote, the President of Dangote Industries Limited, had earlier disclosed that the company is awaiting a pricing arrangement with the Nigerian National Petroleum Company Limited, NNPCL, before launching PMS into the market. Meanwhile, NNPCL spokesperson Olufemi Soneye confirmed that the company would only purchase PMS from the Dangote Refinery if its pricing is more favorable than international alternatives, emphasizing that the NNPCL is not obligated to be the sole distributor for domestic refineries.
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Credible News recalls that Aliko Dangote, on 3rd September, presented the first sample of , PMS, from his 650,000-barrel-per-day refinery in Ibeju-Lekki, Lagos.
The refinery, is poised to revolutionize the country’s fuel supply and stabilize the Naira through a groundbreaking “Naira for Crude” initiative.
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