By Jemimah Wellington, JKNewsMedia Reporter
NIGERIAN PETROL marketers have incurred losses exceeding ₦200 billion over the past six months due to significant price volatility in the downstream petroleum sector.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) attributes these financial setbacks to fluctuating prices and intensified market competition.
IPMAN’s National Public Relations Officer, Chief Chinedu Ukadike, highlighted that the number of active bulk traders has dwindled from over 70 in September 2024 to fewer than 30 by March 2025.
This reduction underscores the challenging market dynamics faced by independent marketers.
The recent commissioning of the 650,000-barrel-per-day Dangote Refinery has intensified competition, leading to price reductions. The refinery’s strategic pricing compelled the Nigerian National Petroleum Company Limited (NNPCL) to adjust its rates, resulting in petrol prices in Lagos dropping to approximately ₦860 per litre. This competitive environment, while beneficial to consumers, has further strained the profit margins of independent marketers.
In response to these challenges, IPMAN has engaged in discussions with both the Dangote Refinery and NNPCL to secure more favourable purchasing terms for its members.
These negotiations aim to mitigate losses and ensure the sustainability of independent marketers within Nigeria’s evolving petroleum landscape.
