₦airaland Forum

cenaman:
https://punchng.com/4000-cng-trucks-tanker-drivers-panic-as-dangote-marketers-tighten-distribution-deal/

Make i still dey on petrol jejely


if you see the queue for CNG you will wonder if there were no adequate planning for CNG

There shouldn't be any panic among the tanker drivers. Qualify drivers with heavy truck approved driver license can go and apply for jobs at Dangote.

sagitariusbaby:
This to me looks like a set-up gift to me. We all know Dangote and his style of business, he is never for the people, not once has he ever been. Let's be careful or else we are gonna learn the hard way. I hope competitors spring up to equate his dominance.

The marketers in distribution sector won't disappear, or are you angry that Dangote want Nigerians to enjoy reduced fuel prices?

By engaging 4000 CNG trucks, he is reducing cost of distribution and increasing competition in the sector.

sagitariusbaby:
This to me looks like a set-up gift to me. We all know Dangote and his style of business, he is never for the people, not once has he ever been. Let's be careful or else we are gonna learn the hard way. I hope competitors spring up to equate his dominance.

so, what do you suggest? 🤔

dederocs:
In cement we have
LaFarge
BUA
UniCem
Eagle Cement
Ashaka
Ibeto

They all sell close to the same range, your statement on monopoly is fallacy.

Cement prices increase as a result of general inflation, prices of fuel, rice, and everything else is increasing not just cement.

The marketers of fuel won't disappear, more trucks will boost the competition in the distribution and lead to lower fuel prices for Nigerians...you are contradicting yourself, because bringing in more distribution trucks increases the competition in the distribution/marketing sector and reduce price for Nigerians.

LOL...I always get tired of hearing how dangote is running a monopoly on cement, when other cement companies dey

You even did not mention MANGAL...the new comer. Already, I have seen people using it.

It's like people saying coke has a monopoly on coladrinks ...forgetting Pepsi exists, and here in nigeria, we have three or more soft drink manufacturers that make cola drink self.

oneMalik:
Where are the " AUDIO REFINERY " crew

I never see where people will be wishing their own country bad-luck ...

And for you Oil marketers , pengason , nupeng and whatever una call unaselves .... THE GAME CHANGER IS HERE .... You call now go on strike and stop distribution as usual .

Dangote will use mopol and flog anywerey that stop his trucks😅🤣😂

In 2012, we had 61 people with licences for refineries. The reason why dangote is the 'only one' (he isn't there are five other private refineries..incluiding one in edo state that is at 150000 bpd capacity, as well as the BUA refinery coming up)...is because years of subsidy meant that investors were not willing to pay out the cash for refineries in nigeria.

That's why oriental refinery never took off, in anambra for example. It was not because of Obi. It was because subsidy made it impossible for the guy essentially to get financing. NO one would finance a refinery in a situation where gofment is controlling prices. They won't get their ROI at all.

And that's why the 61 people never got their refineries off the ground, until subsidy went, and now a few of them are doing something.

People are poor. Lord knows i get that...but the mantra is why we have lost 4 decent refineries.

Modified

My comments do not mean I am defending any useless government. If you read them that way, either you are supporting your own corrupt politician, or you don't like what I say.

free2ryhme:
Make i still dey on petrol jejely


if you seethe queue for CNG you will wonder if their were no adequate planning for CNG

The suffering for CNG cars is not worth it

nairalanda1:
LOL...I always get tired of hearing how dangote is running a monopoly on cement, when other cement companies dey

You even did not mention MANGAL...the new comer. Already, I have seen people using it.

It's like people saying coke has a monopoly on coladrinks ...forgetting Pepsi exists, and here in nigeria, we have three or more soft drink manufacturers that make cola drink self.

The Nigerian mobs like blaming others for their woes. No mind them, I've seen lots of opportunities in this country, na money dey yab man 🤷. Lots of opportunities in manufacturing . That MANGAL dey vex oOoOO, I can see branded brand new trucks plying northern roads

ironheart:
Monopoly at play here, it happened in the cement industry, same tactic is being deployed.

I remember buying Dangote cement for 950 but now its 10 times the price

When cement sold for ₦950, Dollar was ₦160.
If we calculate, cement was $5.9 per bag (Let's say $6).

Mind you, the cost of transportation of that bag of cement from factory to your point of purchase is included in the final amount that you paid. Have you considered how much transportation was when you were buying the cement at 950 and how much it is now?

Multiply that $6 by 1,600... That your ₦950 is currently worth ₦9,500.

How much is the bag of cement again?

To be fully in control of a market you must control all channels in the ecosystem.

Dangs needs to control distribution of his products , via filling stations and tankers. It will also discourage smuggling to other countries.


Most of the tankers complaining are smugglers who own no filling station of use their filling stations to smuggle to other countries.

nairalanda1:
LOL...I always get tired of hearing how dangote is running a monopoly on cement, when other cement companies dey

You even did not mention MANGAL...the new comer. Already, I have seen people using it.

It's like people saying coke has a monopoly on coladrinks ...forgetting Pepsi exists, and here in nigeria, we have three or more soft drink manufacturers that make cola drink self.

Those people talking against lower prices for Nigerians are paid agents of marketers, they want to continue ripping Nigeria off. We must resist their fake narratives.

With such an agreement, marketers no longer need to bother about purchasing trucks. They do not need to worry about the cost of diesel for trucks. They do not need to worry about repair of the trucks. They cut off salaries for truck drivers and the assistants. They do not need to bother about servicing trucks. No LASM, police and other security agencies financial stress on the roads. All they have now to do is to book and wait. Disadvantage would be lack of control over the movement of the trucks. Delay in the supply chain, etc.

Advantage for Nigerians. Regular supply. No truck drivers strike. Stable product price, etc.

For independent marketers. More competition. They may be priced out of the market, etc.

ironheart:
Monopoly at play here, it happened in the cement industry, same tactic is being deployed.

I remember buying Dangote cement for 950 but now its 10 times the price

We can also remember when our minimum was below 10,000 but today, it is 7 times.

EarthKing:
One of the basic characteristics of a monopolistic market is price control. With all this strategic moves, PMS will definitely sell at 3k per liter in no distant time. Wait for it!

Very possible when your minimum wage get increased after 2027 election to N2 million labour union was demand when CBN printing more nairas and pumping it into circulation to provide liquidity

The guy is saying the facts , just wait and see for some year,dangote will drive all his competitor out of market and later monopolize the system. It happened in the cement industry, even few years ago Bua brought cement price to #3500 from #5000 dangote refuse to bulge, couple with the greed of the distributors Bua was forced to raise price back when distributors refused to pass the gain to end users which is the consumers

Commentor:
LaFarge
BUA
UniCem
Eagle Cement
Ashaka
Ibeto

Name the monopoly.

The so-called tanker drivers have being the bane of efficient fuel distribution in the country by smuggling products out of Nigeria for profit while making Nigerians suffer. Now they are panicked.

If it will take a monopolist to bring petroleum products to every nook and cranny of Nigeria and make them accessible to everyone, I support it wholeheartedly.

EarthKing:
One of the basic characteristics of a monopolistic market is price control. With all this strategic moves, PMS will definitely sell at 3k per liter in no distant time. Wait for it!

The way your ilk are still expecting the dollar to exchange for #2000?

One would have expected someone with half a brain to know there will not be monopoly when other refineries come on board. At least there are ones that are under construction.

NUPENG is gone!
Every little thing, tanker drivers are on strike.

Tanker drivers can no longer hold Nigeria hostage 😁

EarthKing:
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One of the basic characteristics of a monopolistic market is price control. With all this strategic moves, PMS will definitely sell at 3k per liter in no distant time. Wait for it!

With the rise in price of oil and the further devaluation of the Naira ... why wouldn't the price of PMS raise?

confluence:
The guy is saying the facts , just wait and see for some year,dangote will drive all his competitor out of market and later monopolize the system. It happened in the cement industry, even few years ago Bua brought cement price to #3500 from #5000 dangote refuse to bulge, couple with the greed of the distributors Bua was forced to raise price back when distributors refused to pass the gain to end users which is the consumers

How is it a fact when there are at least 8 other cement factories in Nigeria?

Are you guys just programmed to hate?

confluence:
The guy is saying the facts , just wait and see for some year,dangote will drive all his competitor out of market and later monopolize the system. It happened in the cement industry, even few years ago Bua brought cement price to #3500 from #5000 dangote refuse to bulge, couple with the greed of the distributors Bua was forced to raise price back when distributors refused to pass the gain to end users which is the consumers

Get the elementary meaning of monopoly before advertising your ignorance.
Is he the only producer of cement?
Are there no other major producers of cement?
Will you give Damgote' cement as an example of a monopolist to an SS2 students asking such as an economics question?

confluence:
The guy is saying the facts , just wait and see for some year,dangote will drive all his competitor out of market and later monopolize the system. It happened in the cement industry, even few years ago Bua brought cement price to #3500 from #5000 dangote refuse to bulge, couple with the greed of the distributors Bua was forced to raise price back when distributors refused to pass the gain to end users which is the consumers

In 2025, BUA tricks of 2023 is still deceiving someone.

Commentor:
LaFarge
BUA
UniCem
Eagle Cement
Ashaka
Ibeto

Name the monopoly.

Sokoto cement

ncoolsome:
Monopoly is starring at us yet we can't see it until it's finally here

Dp you have a refineries in the market that will compete as of now

ironheart:
Monopoly at play here, it happened in the cement industry, same tactic is being deployed.

I remember buying Dangote cement for 950 but now its 10 times the price

To get a refinery licence is not difficult, you can get one and start a refinery then sell your products for 150. We Nigerians will love you for that.

ppogba:
The way your ilk are still expecting the dollar to exchange for #2000?

One would have expected someone with half a brain to know there will not be monopoly when other refineries come on board. At least there are ones that are under construction.

Which refinery
When are they coming into operation

ElevationD:
With such an agreement, marketers no longer need to bother about purchasing trucks. They do not need to worry about the cost of diesel for trucks. They do not need to worry about repair of the trucks. They cut off salaries for truck drivers and the assistants. They do not need to bother about servicing trucks. No LASM, police and other security agencies financial stress on the roads. All they have now to do is to book and wait. Disadvantage would be lack of control over the movement of the trucks. Delay in the supply chain, etc.

Advantage for Nigerians. Regular supply. No truck drivers strike. Stable product price, etc.

For independent marketers. More competition. They may be priced out of the market, etc.

It doesn't mean that way
If dispute arise strikes will still occur

dederocs:
The marketers in distribution sector won't disappear, or are you angry that Dangote want Nigerians to enjoy reduced fuel prices?

By engaging 4000 CNG trucks, he is reducing cost of distribution and increasing competition in the sector.

Not reducing but increasing control of distribution cycle

baralatie:
Which refinery
When are they coming into operation

For that reason, Dangote should wait, abi?

ironheart:
Monopoly at play here, it happened in the cement industry, same tactic is being deployed.

I remember buying Dangote cement for 950 but now its 10 times the price

There is no monopoly in cement industry. What we currently have is collusion among all the manufacturers.
I don't know why people always shouting monopoly when many people could easily establish their own companies too. More than 40 investors applied and obtained licences to build refinery before Dangote applied, none of them started anything. Today, such people will be among the citizens shouting monopoly