Petrol Landing Cost Falls Below Dangote Price by N94 as Imports Surge
- Nigeria faced a N94.53 price gap between imported and domestic petrol, sparking renewed interest in imports
- Recent influx of 249,000 metric tonnes of fuel highlighted the ongoing reliance on foreign supplies amid rising retail prices
- Debate intensified over import policies as stakeholders weighed competition against the need for local refining capacity
Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
A new pricing shift has emerged in Nigeria’s downstream oil sector, with the landing cost of imported petrol now significantly lower than the domestic gantry price.
Data from the Major Energies Marketers Association of Nigeria (MEMAN) shows that as of March 16, 2026, imported Premium Motor Spirit (PMS) landed at N1,080.47 per litre, while the domestic gantry price stood at N1,175 per litre.
Source: Getty Images
This creates a price gap of N94.53 per litre, making imports more attractive to marketers.
Industry players say the development could encourage a fresh wave of petrol importation, despite ongoing efforts to boost local refining capacity.
Interestingly, the opposite is true for diesel. Locally produced Automotive Gas Oil (AGO) is currently cheaper, selling at N1,500 per litre, compared to the imported landing cost of N1,546.12 per litre, giving domestic supply a competitive edge in that segment.
Surge in fuel imports hits Nigerian ports
The price disparity comes as a fresh influx of fuel shipments arrives at Nigerian ports. Within days, over 156 million litres of petrol, converted from about 117,000 metric tonnes, entered the country.
Shipping data from the Nigerian Ports Authority (NPA) shows multiple vessels discharging products across Lagos terminals.
Notable arrivals include:
- LAUSU, which discharged 20,000MT of PMS at Kirikiri Lighter Terminal
- LASTE, delivering 13,000MT of diesel
- Matrix Triumph, offloading 15,000MT of products
- Koba, Princess Oge, and Ashabi, expected to discharge additional volumes within the week
Earlier in the week, vessels such as Mosunmola, Kobe, Bora, and Oluwajuwonlo also delivered significant quantities across Lagos and Calabar ports.
In total, nearly 249,000 metric tonnes of petrol and diesel have been imported in recent days, underlining Nigeria’s continued reliance on external supply to meet demand.
Rising prices continue to pressure Nigerians
Despite increased supply, retail petrol prices remain high nationwide. Pump prices have climbed above N1,200 per litre, with some locations recording as high as N1,300 per litre, according to data from PetroleumPriceNg.
Distribution costs continue to drive regional price differences, with areas farther from Lagos paying more due to transportation expenses.
The rising cost of fuel has pushed up transport fares and the prices of goods and services, worsening the cost-of-living crisis.
Analysts warn that if global crude oil prices continue to rise, particularly amid geopolitical tensions in the Middle East, petrol prices could climb further, potentially hitting N1,500 or even N2,000 per litre.
Marketers signal readiness to import
Independent marketers say they are ready to take advantage of the lower landing cost.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) noted that its members would source fuel from any available supplier to ensure steady availability and foster competition in the market.
Industry insiders believe that increased imports could help moderate price volatility, though the impact may be limited if global crude prices remain elevated.
Regulator clarifies import licence position
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has maintained that no new import licences were issued in the first quarter of 2026.
According to the regulator, the recent inflow of products is tied to previously approved licences and delayed shipments from late 2025.
Official data show that domestic refineries supplied about 36.5 million litres per day in February, compared with a national consumption estimate of 56 million litres per day, leaving a supply gap. Imports and existing stockpiles have been used to bridge this shortfall.
The agency also warned against a return to heavy dependence on imports, stressing the need to strengthen local refining capacity.
Debate deepens over market direction
The current price gap has reignited debate within the sector. While some stakeholders support suspending new import licences to protect local refiners, others argue that restricting imports could create monopolistic conditions and limit competition.
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Source: Getty Images
For now, the combination of lower import costs and rising domestic prices is reshaping market dynamics, leaving consumers caught between global oil trends and local supply realities.
Dangote takes control of Nigeria’s N14.4trn fuel market
Legit.ng earlier reported that Nigeria’s petrol market underwent one of its most dramatic transformations in decades after the federal government suspended the issuance of petrol import licences.
The policy shift effectively placed the Dangote Petroleum Refinery at the heart of the country’s fuel supply chain, giving the facility a dominant position in a market estimated to be worth about ₦14.4 trillion annually.
Industry data indicated that the refinery now supplies the overwhelming majority of petrol consumed in the country.
Proofreading by Funmilayo Aremu, copy editor at Legit.ng.
Source: Legit.ng
