‘They boycott us because we lowered prices’ -Dangote
The leadership of the Independent Petroleum Marketers Association of Nigeria, IPMAN, has denied boycotting the newly established Dangote Refinery in Lagos saying that they were yet to be briefed by the refinery on details of its conditions of business.
Abubakar Maigandi who was reacting to allegations by the Vice President of Dangote Industry, Mr. Edwin hinted that the company did not include in its letter to the marketers the cost of its refined products.
“We will hold a meeting with Dangote Refinery. We didn’t receive any information on Dangote Refinery until yesterday (Wednesday). We don’t know the price of Dangote Refinery’s petrol”, Maigandi said.
According to IPMAN, marketers would not choose to boycott Dangote Refinery products if its prices are lower.
He added, “After a meeting with our members today (Thursday), we are ready to buy Petrol from Dangote Refinery in any condition provided the price is not more than the price we are getting from other places.
“NNPCL, you know they are the sole importer, the company sells to us at an average price of N875 per liter.
“For the NNPCL product, we sell at N930 or N940 depending on how the product was obtained. While at the depot, we buy at N990 per liter. We are marketers, anywhere we can get it at a lower rate, we will go there.
“In the letter to us, Dangote said the PMS is ready. The price was not stated.
“We can’t boycott Dangote Refinery; if Dangote Refinery’s petrol is cheaper, how can marketers boycott the product?
“We don’t have any issue with Dangote Refinery”
It would be recalled that the Vice President of Dangote Industry had alleged that the company was facing challenges in selling approximately 29 tankers of diesel daily, primarily due to reduced demand from oil marketers.
Mr. Edwin had remarked that oil marketers currently acquire just 3% of the products from Dangote Refinery, as they are opting out due to the lower pricing.
He said, “As a result of this poor local patronage, the refinery exports most of its diesel and aviation fuel.”
Edwin previously stated that if the Nigerian National Petroleum Company Limited and other oil distributors in the country do not support Dangote Refinery, its products would be marketed for export instead.
“We have been exporting aviation fuel, we have been producing kerosene, we have been producing diesel, but yesterday, we started the production of PMS. So, that was the last stage. The only thing now left out is petrochemicals.”