Africa Loses $90 Billion Annually to Imported Substandard Fuel, Dangote Warns

 Aliko Dangote, President of Dangote Industries Limited, revealed on July 23, 2025, during the West African Refined Fuel Conference in Abuja, that Africa loses approximately $90 billion annually due to the importation of substandard fuel.

He attributed this to the continent’s limited refining capacity, with only 40% of its 4.3 million barrels daily consumption refined domestically, compared to over 95% in Europe and Asia. Dangote noted that Africa imports 120 million tonnes of refined products yearly, exacerbated by the Dangote Refinery’s reliance on 9-10 million barrels of U.S. crude monthly due to local supply constraints.

Dangote criticized the influx of low-quality fuel, often from Russia, blended to levels unacceptable in Western markets, and highlighted regulatory disparities, such as Nigeria’s 4-degree diesel cloud point versus a more practical 7-12 degrees elsewhere. While he praised the NNPC for providing some Nigerian crude, he lamented logistical costs, 40% of freight due to port charges, and the lack of harmonized standards hindering regional trade. 

The $90 billion figure, while striking, lacks independent verification, and some argue it may overstate the issue to push for local refining, though the broader point about lost economic potential resonates amid Africa’s refining deficit.