₦airaland Forum

gabbasin:
My question has always been why Dangote is afraid of competition, his refinery is in Nigeria and he's still afraid of competition from fuel importers. This gives me the belief that his products are more expensive than imported ones. If his excuse is that imported products are of inferior quality, have we not been using imported fuel before the coming on board of his refinery? Why is Dangote afraid of competition, if his products are prized competitively, no one will dare want to import fuel

Petrol price is determined by global oil prices and not the imaginary competition they scammed you in school

alobright17:
Dangote can reduce fuel price to 1k and still remain the richest man in Africa .

How does Dangote reducing petrol price to ₦1,00 0 relates to his networth?

phemmie06:
Is it fuel importers the one that are checkmating Dangote?

In as much as I love Dangote, I used to say it then that he is a business man and nothing more but a politician.

It the fuel importers that are providing security for oil tankers to pass through the Strait Of Hormuz or US Navy?

Dogalmighty17:
Why wait until importers brought in new shipments Dangote?

Oil prices are falling globally as US Navy is providing security for oil tankers to move through the Strait Of Hormuz

Houseofglam7:
One man… having an entire country on chokehold. Interesting times indeed.

One man like the US president or Supreme Leader of Iran?

Mandem05:
Na business be dat. Importers can also strategize.

Why did the importers strategize when oil price was above $100 and the Strait Of Hormuz closed?

johngwain:
This dangote na wicked man oh, govt need to give as many import license as possible to create serious competition otherwise dangote is ready to monopolize and sell fuel 5000k per liter

Continue to quote imaginary monopoly and competition theories when US Navy has taken over the Strait Of Hormuz

Tenses:
This price war go long ooo

Oh boy that was a checkered move from Dangote. Let's see how the importers will respond.

Grab a pack of popcorn 🍿 and enjoy this brand new series.

Price war or US vs Iran?

AbosedeFalade:
This is the exact reason why Dangote shouldn't be allowed to have his way as the sole dealer of petroleum products in the country. So, if import licenses weren't issued, he wouldn't have reduced the price.

Truly, he's a monopolist. A greedy one at that.

How does import licences been issued has with oil prices falling in the global market with US Navy providing security for oil tankers?

Obaofaba:
This is economic sabotage from Dangote.

So without the competition from the marketers, he will have been ripping us out.

Be there qoutong imaginary competition when US Navy ships are escorting oil tankers through the Strait Of Hormuz

brain54:
Wicked man...


That's why he doesn't want import license to be given.


Someone that builds his business on the sweat, blood, sorrow and tears of his fellow country men.


Very manipulative man!

Wicked man is man who thinks petrol wouldn't rise of oil prices raises when petrol subsidy has been removed

Bluearrow:
Honestly
Only one person shouldn't be allowed to determine prices of commodity in such an important sector

Last I checked, oil prices were determined by future contracts through global demand and supply on commodity exchanges.

Bluearrow:
Monopoly is truly bad for consumers

Imagine an adult talking about imaginary competition when geopolitics is been played in the Middle East

DJperdurabo:
.

Now, that's the power and effect of "competition" in a market!

Was it competition to open to the Strait Of Hormuz or US Navy ships escorting oil tankers?

clearcrystal:
This speaks volume about the intention of Dangote himself.
Monopoly shouldn't be allowed in the oil sector

Keeping talking about imaginary monopoly when geopolitics is been played in the Middle East

educatedfool:
Dangote dey play dirty game here

Dirty game as how?
Is oil prices now down?
Are oil tankers not moving through the Strait Of Hormuz after after a temporary ceasefire agreement?

Kuginzi:
Why is it that it is after Importers Receive New Cargos?

If that's the case, I wish FG grant import licences to marketers for the importation of petroleum products, Fuel price will reduce automatically

Ships moving through the Strait Of Hormuz looks like a joke to you?

[quote author=GoldenGTV post=139541976]Which source said the imported fuel will be 1,600 or you've bought it before in the past?[/quote/] Can you stop pretending that Nigerians are not buying petrol at ₦1,600?

LibertyRep:
Competition is good

Monopoly is awful.

Where was your competition theory when oil prices was over a $100 and no ships passing through the Strait Of Hormuz?

Wonder2501:
Genuine question.

Nigeria has some of the most
talented fashion designers in the world.

The diaspora has millions of
Nigerians who desperately want
authentic outfits for owambe,
weddings, prom, burials.

The money is there.
The talent is there.
The demand is there.

But somehow in 2026 the best
solution people have found is
still Instagram DMs and prayers. 😅

Why has nobody solved this properly?

What is the biggest thing
stopping this from working?

The major problem here is that the Nigerian fashion industry is heavily dominated with individual tailors who made custom attires instead large-scale fashion firms making them on large quantities.

Jeezuzpick:
More pressing issues?

More pressing than making money?

Nigeria is the only country where citizens see opportunity and complain

Walai:
No dey argue blindly, the guy you quoted is saying the truth, banks are not stimulating the economy, they are rather servicing government and government officials instead of helping SME's which is the main oxygen for the economy not politicians.

Fintechs are even doing better than conventional banks in that aspect

Both you and the guy are the ones arguing blindly.
Fintechs are owned by microfinance banks, micro meaning "small" finance. As the name implies, these small finances or financing are taken by individuals and SMEs as loans. An alternative to that are venture capitalist firms who do equity financing becoming co-owner of the business. You don't always expect commercial to be giving out small loans to SMEs because that is not there primary duty.
Financing large corporations is what commercial banks are built. An entrepreneur starting an SME today should be thinking of taking a loan from a microfinance bank and not a commercial bank. It is when the SME grows big, get proper structure and needs further that commercial bank comes in.
Finally, life is lived in stages and phases.

GoldenGTV:
And who have imported and sold for you at that price? Except and Except the issue of inferior or substandard products, Opening the markets to players will beat down the price on the long run.

Keep waiting for imaginary beating down of prices while crises in the Middle East continues.

hotgates:
Nigerian banks are not creating enough real economic value despite their size because many operate as rent-seeking institutions. They would rather lend to the government or entrenched incumbents and earn predictable interest than extend meaningful credit to SMEs or ordinary customers in ways that stimulate economic growth.

The main upside of their valuations is for investors, not necessarily the wider economy.

Not creating real value as how?
Do you expect commercial banks to be doing the work of venture capitalist?

lastmessenger:
if you think banks make money through 50 naira charge then you know nothing. Banks makes money through loans;treasury bills and MMO, and currency arbitrage among money others

Allow them to deceiving themselves.
Nigerian banks and others public companies no longer joke with retain earnings, investing in cash and cash equivalents hence generating a large profit base from interest income.

neutralmind:
I'm not in support of NNPC or the government.

However , it's important to note that Dangote is a private enterprise and in a free market.

He should buckle his sleeves and compete like any other business.

Lets bear in mind that monopoly is not healthy too

It appears Dangote is not willing to compete like any other business in Nigeria

Are you aware that free market also involves petrol raising and falling with oil prices in the global market?

nairalanda1:
I am not speaking against subsidy, I am showing you with facts why Nigeria cannot afford subsidy witout getting into severe debt

As for Libya, under ghadaffy, they were doing 5 million bpd for six million people. That's why

Nigeria can afford subsidy 100%, you have to stop defending bad government

GoldenGTV:
Why is Dangote also afraid of importation? Are locally manufactured good/services meant to be expensive than imports ?

Or is there something we need to know that these guys aren't spilling out?

Expensive at ₦1,400 while your so called cheaper imported petrol is ₦1,600?

DrWokili:
HEALTHY COMPETITION, AS IN THIS INSTANCE, IS DESIRED IN ANY PROGRESSIVE ECONOMY. IT ENCOURAGES QUALITY AND PRICE COMPETITIVENESS, AND PROVIDES THE CONSUMERS WITH ALTERNATIVES.

DANGOTE SHOULD CONCENTRATE ON OPTIMIZING HIS FACTORY AND WORKFORCE FOR ENHANCED PRODUCT SUPERIORITY AND COST-EFFICIENCY, RATHER THAN FIGHTING FOR LOCAL INDUSTRY PROTECTION, AND BY EXTENSION, A MONOPOLY OF THE INDUSTRY BY HIM.

LOCAL PROTECTIONISM DISCOURAGES RESEARCH, DEVELOPMENT, AND INNOVATION, WHICH SHOULD BE THE DRIVING FORCES OF ANY PROFITABLE AND SUSTAINABLE INDUSTRY. KUDOS TO NNPC ON THIS ISSUE.

Be typing healthy imaginary competition in capital letters while citizens of other countries are demanding for subsidies from there government.

nairalanda1:


1. Saudi uses about 60 billion dollars, which is way above our budget of 40 billion dollars for this year, to keep fuel cheap. Unless you want us to take our entire budget, borrow 20-30 billion on top, and use it to fund subsidy for fuel so that we can all have cheap fuel, while salaries go unpaid and projects go unfunded, and everything grinds to a halt, but hey, you got cheap fuel that you cannot pay for now...lol......you better not bring Saudi here.

If Nigeria wanted to be like Saudi, we would have to earn something like 7-10 times what we earn from oil to be able to fund such subsides on fuel. SInce such money does not come overnight, it is either you want us to borrow the money...which would create the largest ever debt in the history of mankind, or you just accept we cannot fund oil subsides for now


2. Russia? Russia pays 22 billion dollars per annum to keep subsides on fuel. And it is not like that money is easy to come by.

And their fuel price per liter are between...466-1000 naira. Yes, it is low, but it costs a lot of money...which Russia can afford because it runs a diversifed economy...that produces industrial goods for export. Does Nigeria do that?

Nigeria relies on 1.8 million bpd revenue for crude oil. Our budget this year was about 54 trillion naira, to subsidise fuel to N200 per liter would require 22-24 trillion naira. Like I said, since we have no budget for subsidy...having a budget now, would mean taking money from other sectors of the budget, including money we borrowed...to fund the subsidy budget.

You know that means we go borrow more, worsening our debt, sha?

We are not RUssia or Saudi..we are Nigeria, a nation that since independence has not diversifed our economy and has a very poor tax uptake. And sadly tinubu dey continue am up till now

So, please forget subsidy, unless you want your debt to be around 500 trillion naira or more in two years time.

Let's also remind ourselves that Saudi Arabia has one of the lowest taxes in the world while Nigeria is the opposite

Henjor48:
I support competition

You support fairytales while suffering and smiling

Bluearrow:
You ended up writing long note for nothing, I said who will build the refinery? Since the subsidy was removed how many individuals have started building apart from Dangote? It means he was the only one that could have also built back then. You think building refinery is building fuel station? Maybe u think the likes of Elemelu & Adenuga can build refinery? Anyone that can build a refinery must be as rich as Dangote or richer than Dangote. Name that billionaire that is richer than Dangote in this country

So, BUA building refinery is richer than Dangote?