Petrol price surge: Marketers explain why pump prices may head higher

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Petrol marketers have warned that pump prices could keep rising after Dangote Petroleum Refinery increased its gantry price from N1,185 to N1,200 per litre. The latest adjustment has pushed retail prices to between N1,250 and N1,300 per litre in some parts of Nigeria.

Dangote’s N15 increase came on Wednesday, August 26, 2026, just five days after the refinery raised its price from N1,165 to N1,185 per litre. Independent marketers say the frequent changes, unstable crude oil prices and exchange rate movements are making it impossible to plan their businesses.

IPMAN blames volatility on crude, FX, government policies

Chinedu Ukadike, National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria, said marketers are dealing with multiple pressures beyond their control.

“We are facing the challenges of the volatility in the market. There are policies of the government, policies of the international market, and the exchange rate. These are inherent dispositions to the increase in pump prices. We are not refiners to be able to determine the price of petroleum products,” he said.

Ukadike noted that Dangote had cut prices earlier when international conditions improved. But he said the current situation leaves marketers unable to structure their operations.

“With this situation now, we cannot, at this particular point in time, structure our business. It’s going to be too difficult for us to structure our business,” he added.

Prices may remain volatile, marketers warn

Ukadike said independent marketers are still loading petrol despite the unstable market, but cautioned that the price outlook is unpredictable.

“Prices have been fluctuating, and we are still loading. PMS is now close to N1,290, N1,300 or N1,250. So, the price of petrol will continue to be volatile as long as the price of crude is not stable and other factors relating to the financial situation,” he explained.

He said both marketers and consumers are feeling the pain of constant price changes.

“Independent marketers and Nigerians are the ones bearing the brunt of these rises and fluctuations, because whatever happens will get to the pump price, which will continue to affect inflation in the country,” he said.

Dealers under the Petroleum Products Retail Outlets Owners Association of Nigeria have also raised concerns about unstable refined product prices. According to the dealers, marketers can suffer losses when the price of refined products rises suddenly.

What it means for the naira and consumers

With petrol prices now running close to N1,300 in some locations, the pressure on consumer budgets and business costs is likely to intensify. Marketers say the combination of foreign exchange swings and crude oil instability will keep affecting pump prices, and by extension, inflation in Nigeria.

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