The landing cost of Premium Motor Spirit (PMS), also known as petrol, has surged to N870 per litre, higher than the Dangote Petroleum Refinery’s selling price, threatening the profit margins of fuel importers and marketers.

According to the Major Energies Marketers Association of Nigeria (MEMAN), the landing cost of PMS stood at N872 per litre on April 28 and N868 on April 29, with a weekly average of N859 as of April 23.

In contrast, Dangote’s ex-depot price was N835 per litre.Traders say the price war is squeezing their profits. “Business has been very slow, with the up and down price of PMS from arbitrary changes that are not effectively managed by the market forces,” said Billy Gillis-Harry, President of the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN).

He added, “Regardless of how things are, we have to do business and keep Nigeria’s economy growing. That’s our covenant with Nigeria.”Despite Dangote’s continued price cuts—reportedly part of the government’s naira-for-crude deal—many marketers are being forced to sell below cost.

Some major depots like Pinnacle, Mao, and Sahara sold petrol for as high as N889 per litre, while Dangote, Matrix, and Rainoil offered it at N840.In Ogun State, SGR stations offered some relief, selling petrol at N855 per litre—below the rates of most competitors.

Meanwhile, S&P Global noted that Dangote’s minimal price reductions have encouraged fuel imports despite the global fall in crude prices. The report stated, “Dangote has not lowered gantry prices for truck volumes significantly… This has encouraged a flood of products to West Africa.”

PETROAN and fuel importers continue to express concerns, even as they aim to keep supply steady amid pricing pressures.