The National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Mr. Chinedu Ukadike revealed on Channels TV’s Lunchtime Politics that its members spend N49 million for a truckload of petrol, often resorting to borrowing to sustain operations.
This significant financial burden is causing widespread dissatisfaction among Nigerians, who are already grappling with economic challenges.
Okadike highlighted that independent marketers are struggling to cope with the deregulation of the oil sector and the removal of subsidies, which has led to a staggering 700% increase in operational costs.
“Foreign exchange is driving us into this where we are today. We the independent marketers from that day till now, we now have over 700% increase in terms of the volume of cash we are imputing in this business. This is a business we buy 45,000 litres of petroleum product with around N8. 1 million, now we are buying that same 45,000 litres with close to N49 million, and it’s taking a toll on the independent marketers”
As they face rising expenses, many marketers are burdened with loans for maintaining filling stations and staff salaries. With the logistics of transporting fuel also falling on them, the independent marketers find themselves increasingly reliant on major players in the industry, like NNPC and Dangote, complicating their operations further.
Okadike called for a general meeting among IPMAN members to discuss the best path forward amid these challenges, underscoring the urgent need for viable solutions in a sector already marked by instability and rising costs.