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Tag: Dangote

  • Dangote crashes diesel, aviation fuel prices

    Dangote crashes diesel, aviation fuel prices

    • Partners MRS on products distribution

    Dangote Refinery has entered into a strategic partnership with MRS Oil and Gas stations across the country to ensure that consumers get to buy fuel at affordable prices in all their stations.

    To consummate the partnership, the Dangote Group announced a further reduction in the price of Automotive Gas Oil (AGO) or diesel and Jet A1, or aviation fuel, produced from its 650, 000 barrels per day capacity refinery located in Lagos.

    Checks by The Nation yesterday showed that across most of the MRS filling stations in Lagos and its environs, the new diesel price of N1, 050 per liter was being effected at the pumps. Some MRS station managers and attendants in Ikoyi, and Alagbole, a border town between Lagos and Ogun states, confirmed the imminent price change which they said may take effect from today.

    Confirming the price reduction and partnership with MRS Oil and Gas Stations, the Director, Corporate Communications, Dangote Group, Anthony Chiejina, said the new price is in consonance with the company’s commitment to cushion the effect of economic hardship in Nigeria.

    “I can confirm to you that Dangote Petroleum Refinery has entered a strategic partnership with MRS Oil and Gas stations, to ensure that consumers get to buy fuel at affordable prices, in all their stations be it Lagos or Maiduguri.

    You can buy as low as one liter of diesel at N1,050 and aviation fuel at N980 at all major airports where MRS operates,” Chiejina said.

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    Assuring that the partnership will be extended to other major oil marketers, he said: “The essence of this is to ensure that retail buyers do not buy at exorbitant prices. The Dangote Group is committed to ensuring that Nigerians have better welfare and as such, we are happy to announce these new prices and hope that it would go a long way to cushion the effect of economic challenges in the country.”

    According to Chiejina, from Dangote Petroleum Refinery, diesel and aviation fuel will now sell at N940 and N980 per litre respectively. The price change of N940 is applicable to customers buying five million liters and above from the refinery, while the price of N970 is for customers buying one million liters and above.

    The price slash has elicited commendations from the private sector. The Chief Executive, Center for the Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf, said what is unfolding underscores the value and significance of domestic production. Besides, he noted that it also exemplifies the beauty of resource based industrialisation and additionally reflects the nationalistic disposition of indigenous industrialists.

    “This is why we must give them the necessary support. Evidently, Aliko Dangote has aligned with the commitment of President Bola Tinubu to tackle the current cost of living crisis.  There is therefore a dimension of patriotism to the pricing dynamics that we are witnessing.

    “There is also a reciprocity angle to this development.  The government offered to supply crude to Dangote refinery in domestic currency which is more favourable than selling in dollars. This naturally must have had a positive impact on output cost for the refinery.

    “The lesson is that we should support local industries and demonstrate much greater commitment to backward integration. This is a more sustainable pathway to industrialisation. Incentives to manufacturers should not be perceived as revenue loss because of the enduring impact on development and self-reliance,” Yusuf said.

    Similarly, the Director-General of the Manufacturers Association of Nigeria (MAN), Mr. Ajayi Kadiri, hailed Dangote, describing the gesture as “an eloquent demonstration of the capacity of local industries to positively impact the fortunes of the national economy.”

    “The trickledown effect of this singular intervention promises to change the dynamics in the energy cost equation of the country, in the midst of inadequate and rising cost of electricity.

    “The reduction will have far-reaching effects in critical sectors like industrial operations, transportation, logistics, and agriculture, contributing to easing the high inflation rate in the country; a lot of companies will be back in operation.”

    Recall that about two weeks ago, the management of Dangote Petroleum Refinery announced a further reduction of the price of diesel from N1200 to N1,000 per litre. Yesterday’s price reduction marks the third major cut in diesel price in less than three weeks when the product sold at N1,700 to N1,200 and also a further reduction to N1,000 and now N940 for diesel and N980 for aviation fuel per litre.

  • BREAKING: Dangote further crashes diesel, aviation fuel to N940, N980

    BREAKING: Dangote further crashes diesel, aviation fuel to N940, N980

    Dangote Petroleum Refinery has again announced a further reduction in the prices of diesel and aviation fuel to N940, N980 per litre respectively. 

    This is coming at the wake of its widely celebrated price reduction to N1,000 barely two weeks ago.

    The price change of N940 is applicable to customers buying five million litres and above from the refinery while the price of N970 is for customers buying one million litres and above.

    Speaking on the new development, the Head of Communication, Mr Anthony Chiejina, explained that the new price is in consonance with the company’s commitment to cushion the effect of economic hardship in Nigeria.

    “I can confirm to you that Dangote Petroleum Refinery has entered a strategic partnership with MRS Oil and Gas stations, to ensure that consumers get to buy fuel at affordable price, in all their stations be it Lagos or Maiduguri. 

    “You can buy as low as 1 litre of diesel at N1,050 and aviation fuel at N980 at all major airports where MRS operates,” he stated. 

    He further stated that the partnership will be extended to other major oil marketers. 

    “The essence of this is to ensure that retail buyers do not buy at exorbitant prices.

    “The Dangote Group is committed to ensuring that Nigerians have a better welfare and as such, we are happy to announce this new prices and hope that it would go a long way to cushion the effect of economic challenges in the country,” he added.

    It would be recalled that the management of Dangote Petroleum Refinery announced a further reduction of the price of diesel from 1200 to 1,000 Naira per litre barely two weeks ago.

    This marks the third major reduction in diesel price in less than three weeks when the product sold at N1,700 to N1,200 and  a further reduction to N1,000 and now N940 for diesel and N980 for aviation fuel per litre. 

    President Bola Tinubu had also commended Dangote for the initial price reduction, describing it as an “enterprising feat.”

    Read Also: Army dismisses two soldiers for stealing cables at Dangote refinery

    Reacting to the latest development, The Director General of the Manufacturers Association of Nigeria (MAN), Mr Ajayi Kadiri, said: “The decision of Dangote Refinery to first crash the price from about N1,750/litre to N1,200/litre, N1,000/litre and now N940 is an eloquent demonstration of the capacity of local industries to positively impact the fortunes of the national economy.”

    He added: “The trickle down effect of this singular intervention promises to change the dynamics in the energy cost equation of the country, in the midst of inadequate and rising cost of electricity. 

    “The reduction will have far-reaching effects in critical sectors like industrial operations, transportation, logistics, and agriculture, contributing to easing the high inflation rate in the country; a lot of companies will be back in operation.”

  • High sulphur diesel narrative false, mischievous ― Dangote

    High sulphur diesel narrative false, mischievous ― Dangote

    The Management of Dangote Industries Limited has condemned in strong terms an online report on the quality of its diesel which is being supplied to the Nigerian market.

    The Dangote Group described the allegation as false, baseless, and mischievous, stating that its refinery is designed to produce the highest quality petroleum products that meet very stringent international specifications.

    A statement signed and issued by the Company’s spokesperson, Mr. Anthony Chiejina, made available to newsmen, stressed that “Publications indicating that we are producing high Sulphur diesel are mischievous and designed to tarnish the image of our reputable organisation.”

    Chiejina added that “the false and misleading allegations made by some media outlets that the Dangote Refinery is producing substandard diesel which is why it reduced the price by 37 per cent, is baseless and mischievous.

    “Until late last year, diesel imports into Nigeria were up to 7,000 parts per million (ppm) of Sulphur which has been going on for many years. Our diesel is produced currently at significantly lower levels of Sulphur; as such, we find baseless the allegation that the reason for reduction is linked to quality.  What we are producing is 80% better than what is being imported into the country.

    “Another inaccurate assertion is that Medium Level Sulphur diesel is meant for off-road use. This is a completely false statement as this would have invariably meant that all the imports for the last 20 years have been damaging equipment.

    “Thirdly, diesel imports for the high Sulphur grade have been at significantly higher prices until we started operation. If indeed high Sulphur diesel is sold at lower prices how come we never saw the lower prices until now?”

    The group’s spokesperson affirmed that the real reason behind the Dangote diesel price reduction was principally due to the patriotism of the management to the nation as well as prevailing market dynamics of supply and demand.

    “As the largest single-train refinery in the world, the Dangote refinery has a production capacity of 650,000 barrels per day, which is more than enough to meet the domestic demand of Nigeria and export to other countries’ economies.

    “We would like to reiterate that the Dangote Refinery is designed to produce high-quality diesel that meets the national and international standards, and that the price reduction is a reflection of our efficiency and competitiveness.  We are optimistic that by Q2/Q3, our diesel will have 10 ppm of Sulphur.

    Read Also: Ondo Muslims get Dangote palliative rice

    “We urge the public to disregard the false and malicious allegations made by some media outlets. The Dangote Refinery is committed to delivering the best products and services to the Nigerian people, and to contributing to the development and growth of the Nigerian oil and gas sector,” Chiejina said.

    He noted that traders in the West, who supply the Nigerian Diesel market cannot be happy, Dangote refinery has taken away their market.

    It may be recall that a recent report by Bloomberg noted that Dangote oil refinery is slowly grinding into gear.

    It added that Dangote has been shipping products in recent weeks while readying two units to enable petrol output that will deliver a long-promised transformation of the fuel market both in Nigeria and the region, according to analysts.

    “Dangote is going to influence Atlantic Basin gasoline markets this summer and for the rest of the year.

    “When the Residue Fluid Catalytic Cracking (RFCC) comes online, that’ll really shake things up because it alters the West African gasoline (petrol) supply balance,” said Alan Gelder, Vice President of Refining, Chemicals, and Oil Markets at the consultancy firm, Wood Mackenzie.

  • Army arrests soldiers for stealing cable at Dangote refinery

    Army arrests soldiers for stealing cable at Dangote refinery

    The Nigerian Army has arrested two soldiers for alleged involvement in the stealing of armoured cable at Dangote refinery in Lagos

    Army spokesperson, Maj.-Gen. Onyema Nwachukwu disclosed this in a statement on Tuesday, April 17.

    Nwachukwu said the army was “deeply concerned” about the incident, but the criminal act of the two soldiers was “totally unacceptable and highly regrettable, does not, therefore, represent the ethics and values of the Nigerian Army.”

    He said: “Preliminary investigation reveals that the two suspects were hired by a civilian contractor simply identified as Mr Smart, who claimed he wanted to recover some Armoured cables he had left behind on the refinery’s premises. Unknown to the soldiers, the said contractor, sensing trouble as they approached the security post, excused himself from the vehicle and bolted, leaving them behind.

    Read Also: Tinubu lauds Dangote refinery for crashing diesel price

    “Further investigations are ongoing to fully ascertain the depth of culpability of the apprehended soldiers. Additionally, the stolen cables have been recovered and are in safe custody.”

    Nwachukwu said the army was working closely with the management of the Dangote Refinery to ensure a thorough investigation into this unfortunate incident.

    He assured the public that appropriate disciplinary measures would be meted out to the culprits, adding that no act of criminality would be condoned amongst its personnel.

    He said: “The Nigerian Army remains steadfast in ensuring that the key values of discipline and integrity are adequately entrenched amongst its personnel.

    “We shall also continue to cultivate and promote dedication and a culture of accountability and ethical behaviours within our ranks.”

  • Tinubu lauds Dangote refinery for crashing diesel price

    Tinubu lauds Dangote refinery for crashing diesel price

    …says diesel price reduction will positively impact commodity prices

    President Bola Tinubu has lauded Dangote Oil and Gas Limited for slashing the wholesale cost of the Automotive Gas Oil (AGO), also known as diesel, from its refinery.

    Dangote Petroleum Refinery had on Tuesday announced a reduction in the cost of AGO pump price from ₦1,200 to ₦1,000 per litre, making it the second reduction in three weeks, having dropped the initial price of ₦1,600 to ₦1,200.

    However, reacting to the new development in a statement issued by his special adviser on media and publicity, Ajuri Ngelale, President Tinubu said the price review by Dangote Petroleum Refinery, which represents a 60% drop, will impact the prices of sundry goods and services.

    He also called on Nigerians and businesses to make the nation their priority, assuring that his administration is committed to guaranteeing a conducive, safe, and secure environment to thrive.

    Read Also: CEO lauds Tinubu’s decision to enforce 2007 Biofuels’ Policy

    “President Bola Tinubu commends the enterprising feat of Dangote Oil and Gas Limited in reducing the gantry price of Automotive Gas Oil (AGO), also known as diesel.

    “The Group recently reviewed downwards the gantry price of AGO from N1,650 to N1,000 per litre for a minimum of one million litres of the product, as well as providing a discount of N30 per litre for an off-take of five million litres and above.

    “The price review represents a 60 percent drop, which will, in no small measure, impact the prices of sundry goods and services.

    “The President affirms that Nigerians and domestic businesses are the nation’s surest transport and security to that glorious destiny of economic prosperity, noting the federal government’s 20 percent stake in Dangote Refinery and why such partnerships between public and private entities are essential to advancing the overall well-being of the country.

    “The President calls on Nigerians and businesses to, at this time, put the nation in priority gear while assuring them of a conducive, safe, and secure environment to thrive”, the statement said.

  • BREAKING: Dangote crashes diesel to N1,000 per litre

    BREAKING: Dangote crashes diesel to N1,000 per litre

    Dangote Petroleum Refinery has announced a further reduction of the price of diesel from 1200 to 1,000 naira per litre.

    While rolling out the products, the refinery supplied at a substantially reduced price of N1,200 per litre three weeks ago, representing over 30 per cent reduction from the previous market price of about N1,600 per litre.

    Read Also; Nigeria’s security architecture stretched beyond elastic limits, says Tinubu

    A statement by the organisation on Tuesday night explained the significant reduction in the price of diesel is expected to positively affect all the spheres of the economy and reduce the high inflation rate in the country.

    Details Shortly…

  • A five-star Act

    A five-star Act

    When the very rich appear in public, it is their aura, not aroma, that proclaims them. Not the cars, not the clothes, not the swagger, not the rustle of cash in their pockets.

    In their clothing, they are fine without finery. They walk with dignity shorn of thumping their feet like public desperadoes. They speak rather than bawl. Smile rather than guffaw. Their cars glide rather than rumble. Their wealth imbues them with proud humility. They don’t seek attention. They don’t flock to people. Rather, they parry attention for being too much.

    It is not that they don’t have vanity. Their earnings, fame and status have smothered their rights to show off. Class and status ooze rather than explode around them. They glow in their own orbits, an immanent glory.

    Nigeria’s top man of money, Aliko Dangote, is such a man. But what sets him apart in this season is his act of charity in a time of scarcity. When the federal government asked that palliatives go to the poor, there was reluctance from the ornate class. Even many governors had to be jolted out of their lack of charity. But the soft-spoken billionaire evinced a million megawatts of love. He was going to distribute a million bags of rice to Nigerians in the 774 local government areas of the country. Target: a million poor families.

    With his Aliko Dangote Foundation, he set out on a mission to help. In Kano, he distributed about a hundred thousand 10 kilograms bags of rice.

    Read Also: Bobrisky: Beneath the surface

    In Lagos, beside the BOS of Lagos, Babajide Sanwo-Olu, he let go 80,000 bags of rice. His foundation collaborated with the infrastructure of the government. From Ekiti to Zamfara, many households eat because he refused to dine alone in his halo of plenty. Not the Lazarus and rich man scenario. No ulcerous sore oozed under a table of majesty dropping crumbs from a spread where peacocks fed fat and drank in between burps of flatulence.

    Sometimes we distinguish charity and philanthropy, but Dangote’s act is charity within philanthropy, if we define charity as an impulse and philanthropy as corporate. We always imagine the rich in their garish splendour, in fables of car, food, wine, clothes, private jets, et al.

    But a wealthy man who does not think of the society is what in my childhood days in Warri we called “money miss road.” In his novel, The Portrait of a Lady, Henry James describes rich people as those who have enough money to “meet the requirements of their imagination.” Why is it that the federal government revealed that we have a lot of idle billions in Nigerian banks? Especially in dollars. Yet the naira was plummeting and the rich were gloating.

    It is where capitalism lost its conscience. A capitalism that disdains the poor is suicidal. It is lumbering towards a storm. Droplets of poison drip into its golden bowl. It was its rabid hour that gave birth to Karl Marx and the Russian revolutions in early part of the 20th century. It was the failure of socialism to recalibrate itself in the world of ideas that allowed capitalism to refresh itself by borrowing from socialism. This resulted in the welfare state. So, in spite of the self-proclamation of the eternity of liberal ideas, capitalists know that for rich men to fatten in peace and follow Thorstein Veblen’s formula of conspicuous consumption, the poor must have enough. If your mouth is busy, you cannot shout of hunger.

    It is a failure of imagination of our rich that they consume with contempt. They take for granted the poor’s lack of organized system. They fail to rebel  well or turn the hierarchy on its head. Some have shaken the system with a bedlam  of rhetoric about revolutions. They have failed, though, because we have too many social impediments to a people’s hour in our history. The youth pockmarked its era with EndSars, a moment of generational pratfall.

    A former governor told me recently that there are quite a few persons in this country with cash who are pining for ideas of what to do with them. When Warren Buffet had such a burden,  he handed a lot to the Bill and Melinda Gates Foundations. There is so much poverty and ignorance, and want of ideas is a marker of a breed of dry-eyed and unthinking billionaires.

    The idea of palliatives gave the platform to the rich. Even at that, how many take this advantage? Im moments like this, especially of crisis, the theory of government as a night watchman attracts no success. The job of  government is not just to protect, but to be proactive. This is an activist moment for government. Hence, it dished out grains form reserves and inspired the governors to do so. When the president told governors to “Spend the money. Don’t spend the people,” he was keying into that activist sentiment.

    Dangote has been at this for a while. He feeds 10,000   vulnerable people daily in Kano  with 20,000 family sized loaves of bread. In Lagos, he feeds 12,500 daily with bread. He has partnered with Bill and Melinda Gates Foundation for polio. He has endowed business schools in universities in Kano, Zaria and Ibadan. In Lagos’ hovel of the poor known as Mushin, has benefitted from his  scholarships involving  about 250 indigent children.

    Reports have it that costs of food have started to show signs of coming down. Eggs and rice, for instance. If charity helps a million families feed, it also helps them buy their own. Why? Because plenty of free rice will pare prices and show hoarders and smugglers that there is an alternative to crookedness. This is the market side of charity. This makes Dangote’s charity an example for all those who think that the first thing to do with their wealth is to run for political office. There are other ways to charm a crowd. Forget ego. Try kindness. Here, Dangote models with his five-star act.

  • Our diesel price cut driving down inflation, says Dangote

    Our diesel price cut driving down inflation, says Dangote

    • Entrepreneurs should work with the govt

    • Abiodun: economy on recovery path

    The cut in diesel price by the Dangote Refinery will reduce inflation, President of Dangote Group, Alhaji Aliko Dangote, said yesterday.

    He believes with the cost of diesel dropping to N1,200 from N1,650, the inflation rate will further drop.

    In February, the headline inflation rate increased to 31.70 per cent relative to the January 2024 rate, which was 29.90 per cent, according to the National Bureau of Statistics.

    Dangote spoke with reporters after paying an Eid-el-Fitr homage to President Bola Ahmed Tinubu at his Lagos home.

    He said Dangote Refinery had been selling diesel at N1,200 per litre as against the market price of N1,650 – N1,700.

    The industrialist was optimistic about the prospects of the pricing for the economy.

    He noted the improvement in the naira to dollar exchange rate, which he said, is already having a positive impact, with the price of locally-produced goods such as flour dropping as businesses pay less for diesel.

    He expects this dramatic reduction in fuel costs to help drive down inflation in the coming months.

    Dangote said: “I believe that we are on the right track.

    Read Also; Lagos to London: Foreign airlines slash prices to compete with Air Peace

    “I believe Nigerians have been patient and I also believe that a lot of goodies will now come through.

    “There’s quite a lot of improvement because if you look at it, one of the major issues that we’ve had was the Naira devaluation that had gone very aggressively up to about N1,900.

    “But right now, we’re back to almost N1,250 and N1,300, which is a good reprieve.

    “You can see quite a lot of things went up. For example, something that we produce locally like flour – people charged more. Why? Because they were paying very high diesel prices.

    “What we did, for example, in our refinery, is to sell diesel at about N1,200 as against N1,650 and I’m sure as we go along, things will continue to improve quite a lot.

    “It’s a lot of impact. The price for a litre of diesel has been cut by almost one-third to N1,200.

    “Even though the crude prices are going up, I believe people will not get it much higher than what it is today at N1,200.

    “It might go a little bit lower, but that can help quite a lot because if you were transporting locally-produced goods, such as rice and other stuff at N1,650, and now you are paying one-third of that amount at N1,200, it’s a lot of difference.

    “That can help to bring inflation down. And I’m sure when the inflation figures are out for the next month, there’ll be quite a lot of improvement in the rate.

    “So, one step at a time. And I’m sure the government is working round the clock to make sure that things get much better. It’s in the interest of everybody.”

    Dangote urged captains of industry to partner with the government to improve lives.

    “You can’t clap with one hand,” he said. “So the entrepreneurs and the government need to clap together.”

    Also yesterday, Ogun State Governor Dapo Abiodun said Nigeria was on the path of recovery from its economic challenges.

    The governor attributed the recovery to the policies and programmes initiated by the Tinubu Administration.

    “They (the initiatives) are yielding fruits as the economy is gradually taking shape,” Abiodun said while hosting the Muslim faithful at his Iperu country home in Ikenne Local Government Area.

    According to him, the prevailing challenges are surmountable once all hands are on deck.

    “Naira continues to appreciate against the dollar. We will soon start to enjoy it.

    “The development of Nigeria is now paramount. It is a must. Nigeria is going to rise again,” the governor said

  • ‘Dangote has added value to economy’

    ‘Dangote has added value to economy’

    President of Enugu Chamber of Commerce, Industry, Mines and Agriculture (ECCIMA), Sir Odeiga Jideonwo, has commended the Dangote Group, led by its President, Aliko Dangote, for adding “immense value to the Nigerian economy and still going stronger.”

    Jideonwo stated this yesterday at the 35th Enugu International Trade Fair, themed: ‘Promoting Made in Nigeria Products for Global Competitiveness’.

    Jideonwo enthused that the Dangote refinery which recently started production of refined petroleum products will go a long way in addressing the challenges associated with availability of refined petroleum products in Nigeria.

    He said: “The exploits of the Dangote Group show great level and high degree of vision, creative thinking, research, innovations and doggedness, which has culminated in what is described as Dangote business and industrial empire today.

    “I have no doubt that in years to come, Dangote Group will become not just a big industrial player in Nigeria and Africa, but the entire globe, deepening the creation of wealth and employment generation.”

    Read Also: Emefiele and company

    In his speech, the Regional Sales Director, Dangote Cement Southeast, Abayomi Shittu, emphasised that the target of the Nigerian multinational industrial conglomerate is to ensure that the nation becomes self-sufficient in all the sectors that it operates in.

    This is just as he assured that the group will continue to push new boundaries to deploy technologies and skills where necessary in a bid to ensure consumers satisfaction.

    Shittu said that this year’s theme resonates well with the Dangote Group “as we are focused on domestically manufacturing goods that were hitherto usually imported despite the abundance of raw materials for such products in Nigeria.”

     The Regional Sales Director noted that industrialisation is key to diversification of the economy and that is why “we are creating linkages that connect the whole economy while at the same time promote backward integration.

     “Dangote Cement provides direct and indirect employment to millions of people across Africa and has touched lives by building schools, hospitals & clinics, roads, markets, vocational training centers in numerous host communities.

     “The ongoing consolidation of Dangote Sugar Refinery, Dangote Salt (NASCON Allied Industries and Dangote Rice into Dangote Foods are part of our strategies to harness the benefits of backward integration via linkages and build a more formidable food company.”

     According to him, Dangote Sugar Refinery, through its out-grower scheme has provided jobs to thousands of farmers in the host communities. This has greatly helped to reduce unemployment, youth restiveness and improve the wellbeing of the host communities.

     Shittu added that the group recorded a milestone on March 22, as Dangote Fertiliser marked two years of commissioning and operations even as he also congratulated the Enugu State government and Enugu Chamber of Commerce, Industry, Mines and Agriculture (ECCIMA) on the successful hosting of the 35th edition of Enugu International Trade Fair.

     “Dangote Petroleum Refinery was commissioned on May 22, 2023, and has started refining of petroleum products. Some of the byproducts from the refinery are in demand as feedstock in some manufacturing sectors. We are on course to create diverse and ancillary industries across Nigeria.

     “Our expectation therefore is that, through this Trade Fair, we will be able to further generate awareness of our innovative products, drive higher sales, get prospective buyers, improve the image of our brands, and open up new markets that will further translate into job creation and overall economic development in Nigeria and beyond. To sustain this process, we will keep innovating and pushing new boundaries while deploying the latest technologies and skills,” he added.

  • Lower diesel pump price will drastically reduce inflation – Dangote

    Lower diesel pump price will drastically reduce inflation – Dangote

    Industrialist and Chairman of the Dangote Group, Alhaji Aliko Dangote, has assured with cost of diesel dropping one-thirds to ₦1,200, the rate of inflation will soon drop.

    Dangote was speaking to journalists when he paid Eid-el-Fitr homage on President Bola Tinubu at his residence in Lagos.

    He said his petroleum refinery had been selling diesel at ₦1,200 naira per litre compared to the previous market price of ₦1,650-₦1,700.

    He also expressed optimism on the economy noting that the naira exchange rate has improved significantly in recent months, dropping from around ₦1,900 to the dollar to ₦1,250-₦1,300.

    This, he said, is already having a positive impact, with the price of locally-produced goods like flour coming down as businesses pay less for diesel fuel.

    According to him: “I discussed a lot of things that are ongoing, which I believe that we are on the right track. I believe Nigerians have been patient and I also believe that a lot of goodies will now come through.

    Read Also; Lagos to London: Foreign airlines slash prices to compete with Air Peace

    “There’s quite a lot of improvement because if you look at it, one of the major issues that we’ve had was the Naira devaluation that has gone very aggressively up to about ₦1,900. But right now we’re back to almost ₦1,250, ₦1,300, which is a good reprieve.

    “You can see quite a lot of things have actually gone. Even people now when you go to the market, for example, something that we produce locally like a flour or whatever, people will charge you more.

    “Why? Because they’re paying very high prices on diesel and what we did, for example, in our refinery, we started selling diesel at about ₦1,200 for ₦1,650 and I’m sure as we go along, things will continue to improve quite a lot.

    “Well, even now it’s a lot of impact. If you look at it now, when you are buying ₦1,650, ₦1,700 for a liter of diesel, and that one has been cut off by almost one third to now be paying for diesel at ₦1,200.

    “And maybe eventually going forward, even though the crude prices are going up, even with that, I believe people will not get it much higher than what it is today, ₦1,200.

    “₦It might be even a little bit lower but it can help quite a lot because if you are transporting locally produced goods, rice and other stuff, you are paying ₦1,650.

    “Now you are paying two thirds of that amount, ₦1,200. It’s a lot. It’s a lot of difference. People don’t know.

    “That can actually help to bring inflation down immediately. And I’m sure when the inflation figures are out for the next month, you see that there’s quite a lot of improvement in the inflation rate.

    “So one step at a time. And I’m sure the government is working around the clock to make sure that things get much better.

    “Because it’s in their own interest. It’s in the interest of everybody, it’s in our own interest and I just want to thank everybody for the Nigerians to get things better.

    Dangote urged captains of industry to partner with the government to improve lives.