Prices of goods may fall soon as Dangote crashes prices of diesel, aviation fuel for 2nd time

Prices of goods and commodities may gradually fall across Nigeria as the Dangote refinery announced on Tuesday a further reduction in diesel and aviation fuel prices to N940 and N980 per litre respectively.

The oil and gas giant announced this nearly a week after the company declared a reduction in the price of diesel from N1,200 to N1,000 per litre.

PREMIUM TIMES quoted a statement by the Dangote Group Head of Corporate Communications, Anthony Chiejina, explaining that the company is committed to ensuring that Nigerians have better welfare.

The statement said, “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 1 litre of diesel at N1,050 and aviation fuel at N980 at all major airports where MRS operates,” Mr Chiejina said.

He added that partnership would 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 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,” he said.

On its part, the Director General of the Manufacturers Association of Nigeria (MAN), Ajayi Kadiri, said “The decision of the company 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.

“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,” Mr concluded.

Prices of food, transportation and other basic services have skyrocketed as Nigeria’s inflation continue to rise.

Nigeria is facing tough economic realities, with the prices of food, transportation, and other basic services rising to their highest levels.

This was largely blamed on the eventual removal of subsidy on fuel by the Nigerian government, insecurity, and a lack of implementation of government policies to effect the needed change as and when expected.

The International Monetary Fund (IMF) has warned that 8.0% of Nigerians may likely face the risk of food insecurity if the current trajectory continues.