Nigeria’s N8.36trn Petrol Import Shows Marginal Decline On Enhanced Local Refining

Nigeria recorded significant decline in petrol import which the National Bureau of Statistics (NBS) calculated to be within the region of N8.96 trillion in 2025.

This shows a shift with increased supply of petrol product from Nigeria-based Dangote refinery.

According to the statistics office, the figure represents a decline of N6.46 trillion or about 41.9 per cent from the N15.42 trillion recorded in 2024.

This is however about N1.45 trillion or close to 19.3 per cent higher than the N7.51 trillion in 2023 when fuel subsidy was taken down.

The Dangote Refinery has intensified efforts to increase local petrol supply, with production reaching 50 million liters daily as of mid-January 2026.

Despite this ramp-up, the refinery has implemented multiple price hikes due to high crude costs—sometimes exceeding Brent benchmarks—and supply challenges.

The refinery, operating with increased capacity, now aims for 1.4 million barrels per day through planned expansions.

According to the NBS, imported petrol persisted in 2025, with oil marketers spending N8.96 trillion on petrol imports between January and December, despite increased investments in domestic refining capacity.

This was contained in the Agency’s latest foreign trade data released on Thursday showing that petrol remained one of the most imported commodities throughout the year, reflecting ongoing supply gaps in the downstream sector.

Aliko Dangote had accused the Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) of continuing to issue import licenses for petroleum products, particularly diesel (AGO) and sometimes petrol, despite his refinery’s improved capacity to meet local demand.

Dangote claims this continued importation is hindering local production and, in some cases, involves “dirty” fuel (high sulfur diesel) being imported from Russia, which he alleges is hurting Nigeria’s economy and undermining the local industry.

Here are the key details regarding the accusations and the industry situation as of March 2026:

Dangote stated that despite the Dangote Refinery being capable of supplying up to 75 million litres of petrol daily, the regulator is still issuing import licenses, leading to “back-loading”.

While the NMDPRA announced in March 2026 that it had suspended new petrol import licences due to improved local production noting that the Dangote refinery supplied 92 per cent of the country’s petrol in February 2026.

Dangote has maintained that licenses are still being used by importers to dump products into the market.

The fuel import expenditure is coming at a time when expectations were high for a decline in reliance on foreign supply following significant investments in local refining.

This trend persisted despite the commencement of operations, steady ramp-up in production and distribution of petrol by domestic refineries, notably the Dangote Petroleum Refinery, alongside state-owned refineries and several modular facilities.

According to NMDPRA, total petrol consumption stood at 18.97 billion litres in 2025, with 11.85 billion litres, representing 62.47 per cent, supplied through imports.

While domestic refineries contributed about 7.54 billion litres, accounting for 37.53 per cent of total consumption.