The Manufacturers Association of Nigeria has stated that the recent hike in the price of premium motor spirit from N568 per litre to N855 will compound the rising cost challenge confronting the country’s real sector.
Recently, the Nigeria National Petroleum Company Limited reviewed petrol prices upwards on Tuesday amid the protracted scarcity of the product across the country.
MAN, in a statement, said NNPCL’s PMS price increase would harm the struggling manufacturing sector.
The Director General of MAN, Segun Ajayi-Kadir, noted that the petrol price hike would lead to higher prices of other commodities, given the average Nigerian’s dwindling disposable income. He admitted that with a global increase in crude oil prices and Nigeria’s dependence on imported fuel due to non-operational refineries, a price hike was inevitable.
He said, “The increase in the cost of crude oil will have a direct impact on the cost of importing fuel into Nigeria and expectedly, the NNPC would at some point, adjust domestic prices.
“Also, right from the time fuel subsidy was either reduced or removed, it became inevitable that the price may rise.”
