Petrol importers in Nigeria have pushed prices lower than the Dangote Petroleum Refinery, launching a fierce new round of competition in the country’s fuel market.
On Tuesday, several media reported filling stations in Lagos and Ogun sold petrol for as little as ₦847 per litre, cheaper than the ₦865 – ₦875 range seen at outlets linked to Dangote. Behind the scenes, importers like Aiteo and Menj cut their depot rates to just ₦815 per litre, undercutting Dangote’s own depot price of ₦820 per litre. This unexpected move marks the strongest challenge yet to the refinery’s market power since it began production.
Industry experts say the price war started when the Dangote refinery slashed its rates several times in July 2025, dropping its ex-depot price from ₦880 to ₦840 and then to ₦820 per litre, responding to falling global oil prices and growing competition. But importers reacted quickly, dropping their own prices below Dangote’s latest offer. As a result, more independent stations are now charging less than outlets tied to Nigeria’s biggest refinery.
Chinedu Ukadike, a spokesperson for the Independent Petroleum Marketers Association of Nigeria (IPMAN), confirmed the trend:
“Importers keep finding ways to bring prices down. The market is open, and real competition is what matters most for consumers.”
For Nigerian motorists and businesses, the price drops mean shorter queues and a bit of financial relief after a year of high petrol costs. However, some fuel marketers warn that rapidly falling prices make it hard for them to break even, with some forced to sell at a loss if they bought stock at higher prices earlier in the month.
The energy sector is now on alert for further changes. Some experts predict more price cuts if importers maintain their momentum, while others warn that ongoing volatility could strain smaller fuel marketers.
For now, Nigerians are seeing the direct benefits of open competition at the pump – with petrol prices at their lowest since local refinery production ramped up. Industry analysts will watch closely to see if Dangote responds again or if importers keep the upper hand in this unfolding price battle
