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Stats: 2,658,703 members, 6,241,509 topics. Date: Wednesday, 14 April 2021 at 09:42 AM
Why Is Dangote Products Expensive In Nigeria, But Cheap In Other Countries? / Behind The Hype, Is Dangote’s Refinery A Game Changer? / Why Is Dangote Cement More Expensive In Nigeria Than Other Countries (2) (3) (4)
|Why Is Dangote This Evil? by Ctorch: 6:25pm On Apr 08|
A major war has been raging in the Nigeria sugar industry for some time now and the bubbles seemed to have burst with Dangote’s decision to petition the Federal Government asking the Ministry of Trade to shut down BUA Group’s Sugar Refinery located in Port Harcourt.
In the letter dated 28th January 2021 signed by Aliko Dangote himself as the Chairman Dangote Industries Limited, the billionaire claimed that when the BUA Sugar refinery was opened, he warned the Government and they told him that no new refinery would be allowed to operate in Nigeria’. Dangote accused BUA of operating with impunity by contravening the laws as laid down in the National sugar policy by selling its products locally instead of producing for export alone.
BUA in its own defense sent to the Honourable Minister of Trade however clarified issues by stating that the law allows it to sell inside Nigeria. Attaching the enabling permits and approval BUA stated that because of the connivance of the two major sugar manufacturers to hike the price of Sugar during the Ramadan period, the law allows it to sell locally.
BUA also warned that the DANGOTE group and the other major player have not been involved in any backward integration project, rather they depend on 80% raw sugar allocation which is detrimental to the Nigerian economy in long-term analysis. BUA on the other hand has been involved in a backward integration project with BUA’s Lafiagi Sugar BIP set to be completed in 2022.
Over a 250million dollars is believed to have been spent on the export-focused BUA sugar refinery already and it is also employing over 1,000 Nigerians.
Meanwhile, BUA also noted that at the center of this fight to force FG to close the BUA Sugar refinery down is the price war.
Last year, before Ramadan, sugar sold for around 18,000 Naira per bag. But as Ramadan fasting started the price jumped to 30,000 per bag. The people had no choice but to buy it because they needed a lot of it during the period. So the manufacturers were smiling at the bank. BUA group noticed the trend and decided that it had to change. There was no reason to increase the price during Ramadan simply because the demand is high.
Usually, the increase happens about one month to commencement of fasting
When the other manufacturers got across to BUA, Samad Rabiu refused. They put pressure on him, saying it was the right time to make good money but he put his feet down.
After failing to do that, they petitioned the Federal Government that he was breaking the law by selling sugar locally instead of for export.
A source however claimed that already, BUA group has dragged the Trade Minister to court to ensure that the operations of the sugar refinery are not tampered with all because of the desperate attempt by Dangote Group to monopolize the sugar trade in Nigeria.
|Re: Why Is Dangote This Evil? by XXXXTENTACION: 6:27pm On Apr 08|
Dangote is not evil it's just business.
|Re: Why Is Dangote This Evil? by Juliusmalema: 6:27pm On Apr 08|
And they will be parading themselves as billionaires..
Billionaires without competing in business to know his strength.
Billionaires that doesn't like competition?
Billionaires that doesn't want the existence of other competitive industry..
Billionaires in FG laps.
|Re: Why Is Dangote This Evil? by SarkinYarki: 6:28pm On Apr 08|
Dangote about to expose his golden goose
We super rich people are evil
|Re: Why Is Dangote This Evil? by PrinceOfLagos: 6:30pm On Apr 08|
Let's make #BoycottDangoteProducts trend on Twitter and other social media platforms
That man is so wicked
|Re: Why Is Dangote This Evil? by mariahAngel: 6:34pm On Apr 08|
|Re: Why Is Dangote This Evil? by flokii: 6:48pm On Apr 08|
Before you crucify Dangote, have it at the back of your mind that the sole aim of every business is to make profit. The man is a businessman out to make profit.
The NSMP specified that sugar companies should source their raw materials locally through backward integration and that costs quite a fortune to fulfil. BUA is aware of that so why go ahead to import?
If he has legit reasons for importing, they can always work out something and everyone will be alright las las.
|Re: Why Is Dangote This Evil? by Freestainworld(m): 7:03pm On Apr 08|
Dangote the parasite
|Re: Why Is Dangote This Evil? by Emmy000seun(m): 7:23pm On Apr 08|
He is Nigeria made billionaire
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