Nigeria’s manufacturers are counting their losses to the drastic macroeconomic changes being executed by the Federal Government, FG.

A key element of the difficulties has shown up in cost of sales with leading manufacturers reporting 90.6 per cent surge in their just released 2024 financial results.

Cost of sales stands for the direct expenses incurred in the production of goods and services sold by a company, and it includes costs of raw materials, logistics, energy and other manufacturing expenses.

Analysts attribute the increase to the mounting inflationary pressure, foreign exchange volatility, and escalating production costs in the sector. But they have projected a better outcome for 2025 if the current stability in some key macroeconomic indicators is sustained.

But  Financial Vanguard findings show that the sharp increases in cost of manufacturing has forced many companies to adopt aggressive cost-cutting measures, including layoffs and price adjustments, to stay afloat.

The findings show that despite efforts at backward integration by top 12 consumer goods manufacturing firms to ease the pressure on their cost of production, they are still faced with myriads of financial and economic headwinds.

Consequently, costs they incurred on raw materials importation increased significantly Year-on-Year, YoY, by 88 per cent in the year 2024, indicating that the backward integration may have either failed or still too low to shield them from high importation costs driven by high exchange rates.

But the  Financial Vanguard findings also show that the top manufacturers have succeeded in bringing down their exposure to bank loans which had imperiled their profitability a year earlier.

However, the high interest rate regime implemented by the Central Bank of Nigeria, CBN, since 2023 still took a toll on the manufacturers’ financial cost.

The top manufacturers examined by  Financial Vanguard  includes, Nestle Nigeria, Cadbury Nigeria, Unilever Nigeria, Nigerian Breweries Plc, BUA Foods, Guinness Nigeria, Northern Nigeria Flour, Dangote Sugar, Honeywell Flour Mills, Flour Mills Nigeria, UAC Nigeria, and Golden Guinea.

Cost of sales  

The combined cost of sales of these top 12 consumer goods firms rose by 88.5% to N3.91 trillion in 2024 from N2.1trillion in 2023.

Nestle Nigeria’s cost of sales increased by 97.7% to N652.5billion in 2024 from N329.9billion in 2023; Cadbury Nigeria’s cost of sales grew by 77.2% to N111.7 billion from 63.04billion in 2023. Unilever’s cost of sales grew by 30.6% to N94.03billion from N72.01billion in 2023.  

Nigerian Breweries’ cost of sales rose by 97.5% to N764.5billion from N387.03billion.   BUA Foods’ cost of sales rose 110.0% to N985billion in 2024 from N469billion in 2023.

Guinness Nigeria recorded 37.5% increase to N208.03billion in 2024 from N151.3billion in 2023.   Dangote Sugar recorded N634.6billion from N355.1billion, representing a growth of 78.7%.   Northern Nigeria Flour Mills posted N25.7billion against N16.4billion in 2023.  

Honeywell Flour Mills recorded N248.8billion in 2024 against N100.5billion in 2023.   UAC Nigeria’s cost of sales increased by 52.5% to N151.3billion from N99.2billion in 2023, while Flour Mills recorded N151.3billion from N99.2billion, indicating 52.5% increase.

The combined cost of raw materials incurred by the top 12 consumer goods manufacturing firms shot up to N2.2trillion in 2024 from N1.2trillion in 2023.

Finance cost

The firms’ combined finance cost rose by 81.0% to N 1.2trillion in 2024 from N664.6billion in 2023.

However, their bank borrowing declined by 6.4% to N1.7trillion from N1.9trillion in 2023, apparently as the companies begin to de-emphasis reliance on bank loans in the face of prevailing high interest rate regime.

The combined firms’ turnover rose by 67.7% to N7.6trillion in 2024 from N4.5trillion in 2023, while their Loss Before Tax, LBT, increased by 76.6% to N407.4 billion in 2024 from N-230.7 billion in 2023.

Companies’ comment on performance

However, leaders of the various companies were positive on the situation. Highlighting the positive side of the 2024 results, Mr. Wassim Elhusseini, Managing Director of Nestlé Nigeria, stated: “Our 2024 results demonstrate the resilience of our brands and teams and underscore our strong fundamentals in a challenging business environment.

“The impressive 75.2% revenue growth for the year as well as 35.6% improvement of our operating profit to N167.9 billion reflects the robustness of our operating performance.

“Our net profit and equity were impacted by high finance costs associated with the revaluation of the company’s foreign currency obligations, due to an unprecedented devaluation of the Naira.  

  “I am very pleased to state that our Q4 2024 standalone results mark a return to profitability with a net profit of Naira 19.7 billion, against a loss of N36.4 billion in Q4 2023.”

Speaking on his company’s results, Mr. Hans Essaadi, Managing Director/CEO, Nigerian Breweries Plc, said: “The impressive year-on-year revenue growth was largely driven by strategic pricing initiatives, market expansion, successful innovations, and operational efficiencies.  

“Despite macroeconomic headwinds faced by the company, group operating profit surged by 54%, reflecting the success of cost management, process optimization and strong operational performance.”

Commenting on BUA Foods’ performance, Engr. (Dr.) Ayodele Abioye, the Managing Director, said: “The results underscored the company’s ability to navigate challenges with agility and its resilience, as it continues to create value for all stakeholders.  

“We are delighted to report an exceptional performance in FY 2024. Despite significant macroeconomic challenges, our business navigated the resulting impact on supply chain costs and foreign exchange losses effectively.

“The cumulative impact of our expansion strategy has enabled our capability to fulfil increased demand from our customers and enhanced internal operational efficiencies”.

  Speaking as well on his Company’s result,   Tobi Adeniyi, Managing Director, Unilever Nigeria, said, “Our year-on-year sustained growth trajectory is a testament to our commitment of serving consumers with our best brands to meet their daily needs of improved health and hygiene.

  “While we are pleased with our performance progress riding on the pillars of operational efficiency, cost optimization, purposeful brands and increasing market share across key categories, we are committed to growing our business to enhance our socioeconomic impact in the country”.  

Some analysts who spoke to Financial Vanguard on the operating environment of the manufacturers were largely critical of the implications of Nigeria’s economic policy outcomes. They believe that the environment does not help business growth.

It’s economic reform fallout, but 2025 looking more positive –  CPPE  

Commenting, Chief Executive Officer of the Centre for the Promotion of Private Enterprise (CPPE), Dr Muda Yusuf, stated: “The cost of sales was driven largely by exchange rate, by finance cost and by the cost of energy and as well as cost of logistics.  

“I think these are the critical issues and these factors were very profound in 2024 because you can describe 2024 as a year of transition, from an economic reform point of view, so this is what must have been responsible for this astronomical increase in the cost of sales.  

“And you can see that for many businesses, particularly those in production, profits have been severely impacted, some of them had declared serious losses and it is these particular factors that led to the exit of some of the multinational companies, especially those in production.

“But thankfully, those pressures are beginning to ease, we are beginning to see some stabilisation and marginal appreciation in the naira exchange rate and we are beginning to see a slight reduction in energy prices – it’s likely to also go down a little more, we’re beginning to see some deceleration in the inflation rate.

“So, with that kind of trajectory, the outlook is looking a lot more positive for 2025, in my view, if there are no dramatic changes in some other economic fundamentals.”

NACCIMA lists binding constraints, proffers solutions  

The President of the Nigerian Chamber of Commerce, Industry, Mines and Agriculture NACCIMA, Dele Oye, said “the sharp rise, in some instances up to 100%, can be attributed to a multitude of interwoven factors that create a challenging environment for our manufacturers”.  

To address these challenges, the NACCIMA president proposed the following strategies:

“The government should establish a consistent, long-term policy framework that provides certainty for manufacturers, allowing them to plan effectively and invest confidently.

“Policies must be developed with significant input from genuine and independent stakeholders to ensure they address the actual challenges faced by manufacturers.

“Prioritizing infrastructure development is essential to reduce operational costs. Investments in reliable power supply and transportation systems are crucial for manufacturers’ efficiency.

“Simplifying the tax system and ensuring predictability will encourage investment.  

“Establishing fair regulatory guidelines to foster healthy competition among domestic manufacturers while protecting them from undue competition from state-owned enterprises is key.

“The government must implement monetary policies that control inflation, thereby preserving purchasing power and promoting stable economic growth.  

“The Central Bank of Nigeria (CBN) should consider reducing the current MPR rates.  

“Through these collective efforts, we can alleviate some of the financial pressures facing manufacturers, bolster their competitiveness, and positively impact our economy as a whole.”

Govt should initiate actionable macroeconomic reform –  MAN

In his comment, Director General of the Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir, stated: “The purchasing capacity of Nigerians has declined so our warehouses are filled with unsold goods, meanwhile, the cost of production continues to increase everyday with the cost of energy, transportation, manpower and now telecommunication consistently rising.

“The challenges are clear. Therefore, macroeconomic reforms must involve actionable plans that take precedence over rhetoric.

“The President’s ambitious goal of taming inflation down to 15 percent and stabilising the naira at N1,500/$ must be pursued by clearly defined and easily assessable actions, with appropriate timelines,” he said.    

Domestic, external cost drove raw materials prices  – Analysts

Reacting to the challenges facing the consumer goods manufacturing firms,   David Adonri, Analyst / Vice Executive Chairman at High Cap Securities Limited,   Olatunde Amolegbe, former President Chartered Institute of Stockbrokers, CIS, and  

Tajudeen Olayinka, Investment Banker & Chartered Stockbroker

stated that the big jump in cost of raw materials in 2024 arose from domestic and external sector cost-push factors.

They added that insecurity and high costs of energy and power that ravaged the economy in 2024, transmitted galloping inflation to the cost of inputs specifically and cost of sales generally.

They also said these domestic cost-push factors were exacerbated by the massive volatility and depreciation of the Naira in 2024, adding that the pass through effect of these cost push factors in itself, intensified the rise in inflation that eroded the purchasing power of consumers to the detriment of corporate turnover.

However, they expressed the view that these cost push factors are expected to trend lower in 2025 from signals that are already emerging in the economy.

Also, they noted that  there is a need for the companies to source some of the manufacturing inputs hitherto imported locally while engaging in aggressive marketing strategy.

On the way forward, they added that: “Public policy can play an enabling role in facilitating increase in corporate turnover while simultaneously reducing production and distribution costs so as to make enterprises cost effective and profitable.

“All cost push factors must be properly identified and tackled with appropriate public policy instruments. A long term solution will be domestication of input sources, reduction of energy and power costs and reduction of interest rate to single digit”.

The Leader of the National Consultative Front, Prof Pat Utomi, has outlined ongoing moves to crystallise a formidable coalition to defeat the All Progressives Congress in the 2027 general elections described as serious business.

Utomi, one of the opposition movement leaders, said several discontented members of the APC and Peoples Democratic Party were keen on joining the coalition, apart from members of five other political parties.

Speaking with The PUNCH, Utomi said huge numbers of the APC, PDP and other political parties had expressed their willingness to embrace the coalition to save Nigeria from the brink.

He noted that several movements, and parties would join the coalition and form an alliance, though he noted that there were ongoing talks on the particular platform that would be adopted for the 2027 battle.

Utomi said, “This is serious business. Nigeria is on the brink at a time of a changing global order.

“The approach we now take is to focus on core influence groups within parties.

“In this regard, there are good people who subscribe to our values and development strategy in APC and PDP who have significant following and believe there is a better way and have reached out to us.

“The Social Democratic Party that you have referred to is a work in progress. About five other parties are going through similar processes.

“Also bear in mind that huge numbers are getting ready to leave the APC and PDP and have been reaching out. But the core must be firmly fixed.”

Asked how the coalition intends to take care of the various interests joining the coalition, Utomi said the driving force was self-sacrifice and forging a party leadership where decisions would be made collectively.

Utomi’s assertion comes on the back of former Vice President Atiku Abubakar, along with some opposition leaders, announcing that a coalition is being formed with the aim to unseat President Bola Tinubu in 2027.

Among those present at the event where Atiku announced the coalition were the 2023 Labour Party’s presidential candidate, Peter Obi, who Dr Yunusa Tanko represented; former Secretary to the Government of the Federation (SGF), Babachir David Lawal; former Governor of Kaduna State, Nasir El-Rufai; a former gubernatorial hopeful in Ogun State, Segun Sowunmi; former Director General of Progressive Governors Forum (PGF), Dr Salihu Lukman; Alhaji Adamu Maina Waziri, Chief Peter Ameh and Soni Monidafe, among others.

Speaking with The PUNCH, on Sunday, Utomi stressed that the coalition “aims to redeem the collapse of culture in Nigeria as well as showing by example how a disciplined political party acts.”

The NCFront has talked about the unveiling of a mega coalition in June, noting that opposition parties and discontented members of the ruling All Progressives Congress are intensifying behind-the-scenes consultations to form a formidable alliance against the current administration.

Discussions involve key stakeholders from the North and South, including opposition parties, APC defectors, and civil society groups.

The opposition figures said the northern stakeholders, in particular, are inclined towards a coalition to unseat President Bola Tinubu, arguing that his administration’s policies had disproportionately affected their region.

Speaking further, Utomi said the coalition would be operating a government of national unity resolute to advance the common good in a democratic, transparent and people-centred atmosphere.

“It needs a national unity government focused on a developmental state focused on bringing progress to every nook and cranny of Nigeria, not egotists and narcissists looking for state capture to burnish bloated personal accounts around the world while their country slides into the economic abyss.

“Another point is that leadership of the new order must be collective. No more of the Buhari or “Baba sope” approach that got in the way of a collective good goal in the past iterations of rescue missions. Decisions must be made collectively. We will not be victims of groupthink anymore.

“A collective shadow team will be active shortly and, where necessary, we will turn to people power to reset the agenda of our country.

On the goals of the coalition, Utomi stressed, “It is to make democracy work for the people and to ensure a government with a people-centred focus accelerates constitutional reforms for a better working Nigeria.

“It also aims to redeem the collapse of culture in Nigeria as well as showing by example how a disciplined political party acts, especially in how more capable and values-driven people are recruited into public life.”

He added, “The change we deserve is about a core of people who are a self-sacrificing group focused on disciplined organization to move the apparatus of cooperation and state authority.

“It is also to advance the common good in an atmosphere of freedom that is democratic, transparent and people-centred because touts and criminals abound in many parties and will take money from those in power to simulate the appearance of crisis.”

Veteran Nollywood actor Jide Kosoko has weighed in on the controversial issue of sex-for-roles in the Nigerian film industry, stating that some actresses deliberately enter the industry with the intent of using sexual relationships to advance their careers.

Jide Kosoko shared his views during a recent appearance on the Honest Bunch podcast, where he challenged the popular notion that directors and producers always impose such conditions on actresses.

He emphasised that no one can be coerced into engaging in sexual exchanges for roles.

“If I said I need you to warm my bed so that I can give you a role, and you said no, they cannot force you to do it. And if you want that role by all means, that means you want to dance to his tone,” he explained.

The veteran actor clarified that while making such demands is inappropriate, the decision ultimately rests with the individuals involved.

“I’m not saying it’s right to have introduced that to you, but if you fall for it, that’s your own business. How does that concern the whole world? All this sex-for-roles thing, forget about it,” Kosoko stated.

He went on to assert that some women intentionally exploit such situations to gain recognition in Nollywood.

“I know some ladies that equally come into the industry with the determination that, by the time ‘I sleep with this and sleep with that, I will get my name. I know of some popular actresses. I know of even a Magistrate,” he revealed.

CATHOLIC Archbishop of Abuja Emeritus, John Cardinal Onaiyekan, has taken a swipe at political leaders in the executive, legislature and judiciary arms of government who misuse power to oppress people, warning them to kn ow that power belongs only to God, to whom they would answerable.

In a homily delivered at the 17th edition of St. Patrick at Holy Family Catholic Church, Life Camp, Abuja yesterday, he warned that power must be carried out with the knowledge that the holder would give account to God on its use.

Onaiyekan, who used the presence of the Chairman, Senate Committee on National Population and National Identity Management Commission, NIMC, Senator Victor Umeh, LP, Anambra Central, who was also chairman of this year’s celebration, to send a message to his co-political leaders, said: “I think I see one now, Senator Umeh, the man with the big red hat. You’re most welcome.

“Senator Umeh doesn’t belong to Edo/Delta but you know politicians are always looking for ways and means of advertising themselves. He is the senator representing Anambra Central zone in the Senate.

“You are most welcome to join in this. And through you, we are reaching out to all those big men that God had put in charge of us. God put them in charge of us.

“You know what? Since power belongs to God, anybody who holds power is holding it in the name of God. No matter how you collected the power, whether because you staged a coup with a gun, even if you rigged election and the Supreme Court declares you ruler, you should not forget power belongs to God. That is serious.

“What that means is that you are going to give account to God how you are using this power. The people may be helpless, like we all are right now, the people may not be able to challenge you and you may think you are getting away with anything. No way! God’s record is always straight and comprehensive. So, we warn them.

“That’s why we are praying for them, all that may work according to God’s will – seek justice, equity, goodness, kindness, peace, above all, above personal political and other interests.

“So, senator, you have a message. I don’t know how you will carry it to your brothers and sisters. For me, Cardinal, I have done my own part.”

Speaking on the issue of forgiveness, the Cardinal noted that there was no sin beyond forgiveness but observed that people were not always ready to ask for forgiveness, alleging that political leaders were involved in bad things and yet obtain court judgments to justify them.

He said: “But you know to ask for forgiveness entails that we admit we have done wrong. And this admission that we have done wrong is so difficult for us because of our pride. We see people do horrible things and are proud of it and they justify it.

“They can even get court judgment to support it and justify it. If we don’t acknowledge our sins, how would we ask for forgiveness? If we don’t ask for forgiveness, how will God forgive us?”

Cardinal Onaiyekan warned political leaders not to prevent people from crying about the present condition, whether over the social media or anywhere else, adding that when people suffer, they were bound to cry.

“You can’t stop people suffering from crying. And you know whenever you are crying, the Lord is listening to you.

“Don’t be tired of crying. I’m not tired of crying. I will continue to cry about…this country has enough to make us reasonably happy.

“The country has the wherewithal to make everybody happy, not everybody stinkingly rich. No. God does not provide for all our greed. God has provided for all our needs,’’ he said.

The Catholic Archbishop, who alluded to the biblical suffering of Israelites in Egypt for hundreds of years, reminded leaders that the poor victims could not organize themselves to overthrow the Egyptians but God came to their aid.

Quoting from the book of Exodus to back his admonition, he said: “I have seen the affliction of my people who are in Egypt, and have heard their cry because of their taskmasters; I know their sufferings, and I have come down to deliver them out of the hand of the Egyptian, and to bring them up out of the land to a good and broad land, a land flowing with milk and honey.”

The Emeritus Archbishop, who called for prayers for those in power not to forget that power comes from God, admonished them to know that people were suffering, advising Edo/Delta Catholic community in Abuja to marry their culture with their Christian belief “You do not have to choose between your Christian faith and your Edo/Delta culture. Both can and must enrich each other. And I believe that’s what we are celebrating here this day in this church,’’ he admonished

PMAN slams depot owners for stockpiling product, FG, Dangote resume talks today

Following the Dangote Petroleum Refinery’s suspension of the sale of petroleum products in naira, some filling stations have started stockpiling Premium Motor Spirit, otherwise known as petrol, The PUNCH reports.

The retailers are storing the product to ensure they have enough to sell at a higher rate, having projected that the price of petrol would go up soon as a result of the failure of the Federal Government to continue the sale of crude oil to the Dangote refinery in the local currency.

However, the Independent Petroleum Marketers Association of Nigeria warned these retailers to stop panic buying as they may run into heavy losses.

Last week, the Dangote refinery announced that it had temporarily halted the sale of petroleum products in naira as the naira-for-crude talks between it and NNPCL appeared to have failed.

The 650,000 barrels per day capacity refinery lamented that there was a mismatch between its sales proceeds and its crude oil purchase obligations, which it said are currently denominated in US dollars.

“Dear valued customers, we wish to inform you that the Dangote Petroleum Refinery has temporarily halted the sale of petroleum products in naira. This decision is necessary to avoid a mismatch between our sales proceeds and our crude oil purchase obligations, which are currently denominated in US dollars.

“To date, our sales of petroleum products in naira have exceeded the value of naira-denominated crude we have received. As a result, we must temporarily adjust our sales currency to align with our crude procurement currency,” the firm announced.

Immediately after the announcement, the cost of loading petrol at private depots in Lagos jumped to about N900/litre. It was less than N850/litre before the announcement.

In an interview with our correspondent on Sunday, the National Publicity Secretary of IPMAN, Chinedu Ukadike, said depot owners were profiteering even as some owners of filling stations were in a rush to stockpile fuel.

According to him, the demand for PMS has risen since Wednesday, when Dangote made the announcement. As a result, depot owners were said to have raised their prices to make more profit.

It was observed that players in the downstream petroleum sector have been left to continue speculating on the prices of petroleum products as the Federal Government had kept mute since the announcement made by the Dangote refinery.

Five days after the announcement, the refinery has yet to tell marketers how the dealers will buy PMS going forward.

Private depot owners wasted no time in jerking up their prices in anticipation of a possible hike in petrol prices. Although owners of filling stations have yet to increase their prices, they are already buying to sell for more gains when the price goes up later.

But Ukadike condemned depot owners for profiteering from the impasse between the Federal Government and the Dangote refinery, saying that is not good for the economy.

He warned marketers not to panic-buy because the Dangote refinery may crash the price.

“Some depot owners are already increasing the price. But we are also asking our marketers not to panic-buy. Because definitely when the Dangote refinery comes back and reverses the price, it will be a huge loss for these marketers. Depot owners are using this opportunity to profiteer. This is not good for the economy.

“Some marketers are also stockpiling PMS in a bid to increase the price based on the suspension of naira sales by the Dangote refinery. They speculate that the price will go higher and they will make more money from the fuel they are buying now. It may not be so. This issue will be resolved,” Ukadike stated.

He warned all marketers against buying large volumes of petrol to avoid running into debt.

“We, the independent marketers, are asking our members not to buy so much goods because when they buy so much volume of fuel at a higher rate from the depot owners, at the end of the day, it might result in losing a lot of capital.

“Dangote may crash the price and most of them with high volumes of PMS will run into problems. So, all marketers should be careful to avoid losses,” he advised.

The IPMAN spokesman disclosed that the Federal Government and Dangote refinery are resolving their misunderstanding to allow the resumption of the naira crude sales. He stated that stakeholders are waiting to hear the conclusion from either party.

“I have gathered that the Federal Government and Dangote refinery are almost resolving this matter.

“The two of them are reviewing the naira-for-crude deal to continue the sale of crude oil in naira to the refinery again. But the official statement has not come out. We are waiting for the official statement,” Ukadike revealed.

Sources from the Federal Ministry of Finance and the Federal Ministry of Petroleum Resources had earlier confirmed that the Technical Sub-Committee on the Naira-for-Crude Policy would reconvene today (Monday) to deliberate on the matter.

It was gathered that the committee had mandated the Nigerian Upstream Petroleum Regulatory Commission to come up with options that would be reviewed by the panel as it struggles to return the naira-for-crude deal.

The insider familiar with the workings of the naira-for-crude said the transaction would not be halted permanently. The source, who spoke in confidence due to lack of authorisation to speak on the matter, pointed out that NNPCL had issues with crude availability.

Industry experts and oil marketers warned that the halt in naira sales by the Dangote refinery could increase the pressure on the foreign exchange market, as dealers would now have to access the United States dollars in large amounts to buy petroleum products.

This came as multiple industry sources familiar with what prompted the failure in the naira-for-crude talk decried the Nigerian National Petroleum Company Limited’s humongous forward sale of crude.

They stressed that the national oil company had used large volumes of its yet-to-be-produced crude oil to acquire loans from various international financial institutions, making it tough for the oil firm to have enough crude to supply the domestic market.

Earlier, the NNPC spokesman, Olufemi Soneye, announced that it had initiated fresh negotiations with the Dangote refinery over the renewal of the naira-for-crude agreement, as talks were underway in anticipation of the expiration of the first phase which started in October 2024 and ends this month.

Soneye said 48 million barrels of crude had been supplied to the Dangote refinery since October.

The Dangote refinery’s suspension of the sale of petroleum products in naira means marketers would have to source dollars before buying petrol from the facility.

The National Vice President of the Independent Petroleum Marketers Association of Nigeria, Hammed Fashola, said there could be pressure on the naira, and it would lose the stability it had gained lately.

Experts have said that the naira-for-crude deal emboldened the Dangote refinery to lower the prices of PMS repeatedly, forcing the NNPC to do so even when it was affecting its margins.

The PUNCH reports that fuel importers lost billions of naira with the repeated reduction of fuel prices by the $20bn facility.

At a point, the Petroleum Products Retail Outlet Owners Association of Nigeria, which once commended Dangote for the price slashes, kicked against it, asking the regulator to make it mandatory that prices should only be slashed after six months.

Meanwhile, industry sources said stopping the naira-for-crude deal might be a calculated attempt to reduce the influence of the Dangote refinery, which some players in the downstream accused of planning monopolistic tendencies.

Reacting, domestic crude oil refiners argued that the halt in crude supply in naira was the latest ploy to frustrate the Dangote refinery and bring back the full importation of refined petroleum products.

The National Publicity Secretary of the Crude Oil Refinery-owners Association of Nigeria, Eche Idoko, disclosed that suspending the deal defeats the efforts of all stakeholders in the sector to achieve energy security.

The PUNCH reports that seven vessels carrying imported Premium Motor Spirit, popularly called petrol, were expected to berth at seaports along the nation’s borders between March 17 and 23.

According to a document obtained from the Nigerian Port Authority on Thursday, these vessels carrying 115,000 metric tonnes representing 154.22 million litres of PMS will bring in products through three seaports to improve fuel supply nationwide.

An analysis of the document from NPA showed that the commodities landed at the Tincan port in Lagos, the Lekki Deep Seaport in Lagos, and the Calabar port in Cross River State.

The document also revealed that the Dangote refinery imported 654,766 metric tonnes of crude oil within the same period.

Fuel crisis

Recall that the Dangote refinery in Lekki, Lagos State, was greeted by crude challenges when it began operations last year.

The President of the Dangote Group, Alhaji Aliko Dangote, had cried out, saying some international oil companies were planning to sabotage the investment by refusing to supply crude.

The Dangote Group had alleged that the IOCs insisted on selling crude oil to its refinery through their foreign agents.

It said the local price of crude would continue to increase because the trading arms offered cargoes at $2 to $4 per barrel, above the official price.

The group also alleged that the foreign oil producers seem to be prioritising Asian countries in selling the crude they produce in Nigeria.

Despite the intervention of the Nigerian Upstream Petroleum Regulatory Commission in July, the group insisted that the IOCs were still frustrating the refinery.

The Vice President, Oil & Gas, Dangote Industries Limited, Mr Devakumar Edwin, said, “If the Domestic Crude Supply Obligation guidelines are diligently implemented, this will ensure that we deal directly with the companies producing the crude oil in Nigeria as stipulated by the Petroleum Industry Act.”

Edwin insisted that IOCs operating in Nigeria had consistently frustrated the company’s requests for locally-produced crude as feedstock for its refining process.

He highlighted that when cargoes were offered to the oil company by the trading arms, it was sometimes at a $2 to $4 (per barrel) premium above the official price set by the NUPRC.

The issue escalated and drew angry reactions from many Nigerians when the Chief Executive of the NMDPRA, Farouq Ahmed said local refineries were producing fuels less in quality than imported ones.

Concerned by the controversies, President Bola Tinubu, during a Federal Executive Council meeting on July 29 proposed the sale of crude to local refineries in naira.

The Federal Executive Council adopted the proposal by Tinubu to sell crude to the Dangote refinery and other upcoming refineries in the local currency.

FEC approved that the 450,000 barrels meant for domestic consumption be offered in naira to Nigerian refineries, using the Dangote refinery as a pilot.

A media aide to the President, Bayo Onanuga, said in July that “the exchange rate will be fixed for the duration of this transaction.”

The Federal Government says it will learn power generation and transmission from Egypt which it described as a role model in the sector.

The government also has reaffirmed its commitment to rural development through improved electricity access,

The Minister of Power, Adebayo Adelabu, disclosed this during a recent meeting in Abuja with the Egyptian Ambassador to Nigeria, Mohammed Fouad.

A statement by Adelabu’s spokesperson, Bolaji Tunji, said on Sunday that the meeting centered on strengthening bilateral cooperation in energy expansion, with a focus on renewable energy and rural electrification. 

Adelabu commended Egypt’s achievements in the energy sector, describing the country as a role model in energy infrastructure development.

He expressed Nigeria’s interest in learning from Egypt’s experience in energy generation, transmission, and distribution, adding that the success in Egypt led to the engagements with Siemens with a view towards stabilising Nigeria’s power sector.

“Egypt has made remarkable strides in energy transformation, and we are eager to collaborate and learn from your expertise. Our goal is to ensure reliable, stable, and affordable energy access for all Nigerians,” he added.

Adelabu highlighted Nigeria’s efforts to connect remote rural areas to power through renewable energy initiatives, citing the economic challenges of extending the national grid to these regions.

“Many rural areas cannot be connected to the grid due to economic constraints, but we cannot neglect them. Through our renewable energy programme, we are bridging this gap. We have secured significant investments, including $750m from the World Bank’s DARES project and an additional $190m from the Japan International Cooperation Agency to support this initiative,” Adelabu stated.

He emphasised Nigeria’s abundant renewable energy resources, including solar, wind, and hydroelectric potential, expressing the government’s determination to harness these resources for sustainable energy access.

Speaking, Fouad expressed Egypt’s enthusiasm for collaborating with Nigeria, particularly in closing the metering gap and sharing best practices in energy access.

He emphasised the shared goals and mutual benefits of strengthening bilateral ties between the two nations.

“Nigeria and Egypt have much in common, and there is immense potential for collaboration in the energy sector. We are committed to working together to achieve sustainable energy solutions for both countries,” Fouad said.

The Socio-Economic Rights and Accountability Project (SERAP) has filed a lawsuit against President Bola Tinubu over the suspension of the democratically elected Governor, Deputy Governor, and Members of the House of Assembly of Rivers State, following the declaration of a state of emergency in the state.

Naija News reports that President Bola Ahmed Tinubu had on Tuesday declared a state of emergency in Rivers State and also suspended Governor Siminalayi Fubara, Deputy Governor Ngozi Odu and all lawmakers, while appointing a sole administrator to govern the state for an initial period of six months.

The suit, filed last Friday at the Federal High Court in Abuja, names the Attorney General of the Federation and Minister of Justice, Mr. Lateef Fagbemi, SAN, and Vice Admiral Ibok-Ete Ibas (Rtd) as defendants. The plaintiffs, Yirabari Israel Nulog, Nengim Ikpoemugh Royal, and Gracious Eyoh–Sifumbukho, who are members of SERAP Volunteers’ Lawyers Network (SVLN) in Rivers State, argue that the suspension of the elected officials is unconstitutional and violates their rights to participate in the democratic process.

The plaintiffs are seeking several reliefs, including the annulment of the suspension of the officials and the appointment of Vice Admiral Ibok-Ete Ibas as the Sole Administrator of Rivers State.

They also seek a declaration that the President’s actions are unlawful and unconstitutional under various sections of the Nigerian Constitution.

In the suit, the plaintiffs argue that the suspension of elected officials in Rivers State violates the constitutional rights of citizens to participate in their government. They emphasize that such actions are against the principles of democracy, the rule of law, and the Nigerian Constitution, and they call for the reversal of these actions.

The plaintiffs, represented by their lawyer, Ebun-Olu Adegboruwa, SAN, argue that the President’s proclamation of a state of emergency in Rivers State did not follow the necessary constitutional process and that the suspension of elected officials undermines the country’s democratic framework.

They also seek an injunction restraining Vice Admiral Ibas from acting as the Sole Administrator and to prevent the continuation of the suspension of the elected officials.

Naija News reports that the hearing date for the case has not been set as of the time of this report.

Hundreds of constituents from Kogi central have taken to the streets in support of Natasha Akpoti-Uduaghan who represents the district in the upper legislative chamber.

Akpoti-Uduaghan was suspended from the senate on March 6 for “gross misconduct” following a seating arrangement dispute with Senate President Godswill Akpabio.

She had earlier accused Akpabio of sexual harassment.

The protests were triggered by recent attempts by certain Kogi central constituents to initiate a recall process against Akpoti-Uduaghan.

They carried banners with inscriptions that read: ‘Natasha, Pride of Kogi Central’, ‘Protect Kogi Central Constituents’, and ‘We Stand with Natasha’.

The protesters, among them men, women, and youths, broke into songs in the Ebira language, mocking those who had initiated the recall process.

Chanting in unison, they sang: “They should be ashamed of themselves! Shame has caught them after collecting N10,000 and jollof rice from Akpabio!”

On Thursday, the federal high court in Lokoja granted an interim injunction preventing the Independent National Electoral Commission (INEC) from accepting or acting on petitions to recall Akpoti-Uduaghan.

On Friday, the court vacated the order, saying it is the civic right of constituents to recall any lawmaker.

Watch video of the protest below.

The National Drug Law Enforcement Agency, NDLEA, said its operatives have intercepted a 42-year-old Indian lady, Ms. Neetu Neetu, at the Mallam Aminu Kano International Airport, MAKIA, Kano, with 72 parcels of heroin factory-sealed in wafer wraps and packaged as chocolates.

NDLEA stated that the class A drug consignment, weighing a total of 11 kilograms, was recovered from Neetu’s luggage after a thorough search, following processed credible intelligence, during an inward clearance of Qatar Airways flight QR1431 from Bangkok, Thailand, via Vietnam and Doha at the arrival hall of Kano airport on Friday, 14th March 2025.

This was made known in a statement on Sunday by Femi Babafemi, Director, Media & Advocacy, NDLEA Headquarters, Abuja.

Babafemi disclosed that Neetu’s arrest signifies a growing attempt by drug trafficking organizations to hire white ladies and foreign nationals to move illicit drugs through Nigerian borders.

He stated that vigilant NDLEA operatives have consistently frustrated these attempts with the aid of modern technological tools and proactive intelligence, quoting the Chairman/Chief Executive Officer of NDLEA, Brig Gen Mohamed Buba Marwa (Rtd), in his reaction to Neetu’s arrest.

In another interdiction operation in Kano, NDLEA officers on Thursday, 20th March, arrested a 45-year-old suspect, Michael Ogundele, with a 50-litre steel gas cylinder at Gadar Tamburawa, along Zaria-Kano Road. Based on credible intelligence, welding tools were later used to cut open the giant cylinder, revealing 50,000 pills of tramadol 225mg concealed inside.

Meanwhile, Sunday Ogar, 40, was nabbed at Gunduwawa area of Kano on Wednesday, 19th March, with 27kg of skunk, a strain of cannabis. Additionally, a female suspect, Khadijah Abdullahi, 40, was arrested with 424 bottles of codeine-based syrup at Lungun Bulala Yalwa area of the state on Tuesday, 18th March.

In Lagos, the duo of Olumuyiwa Kolawole and Samod Adisa were nabbed with 67.5kg of skunk in Mushin, just as 100.8kg of the same psychoactive substance was recovered from the store of two fleeing suspects in Anifowoshe area of Mushin. Meanwhile, Isah Idris was arrested in Apapa with 4.5kg of skunk, 600 grams of tramadol 225mg, and 30 litres of codeine syrup on Tuesday, 18th March.

Another suspect, Yahaya Mohamed, was arrested the same day in Ikotun area of the state with different quantities of cocaine, heroin, and methamphetamine.

Earlier in his reaction, NDLEA boss Marwa commended the officers and men of MAKIA, Lagos, and Kano Commands of the agency for the arrests and seizures.

Marwa noted with satisfaction the balance in drug supply and demand reduction efforts of all the formations nationwide, even as he charged them not to relent.

Although the Peoples Democratic Party (PDP) hasn’t made its official position known on the coalition being put together by some key leaders of the opposition to wrestle power from the ruling party at the federal level, All Progressives Congress (APC), and President Bola Tinubu ahead of 2027, Sunday Vanguard understands that the PDP may join forces with them on one condition: The process will not lead to its loss of identity.

The PDP was in power for 16 years before the APC dislodged it from the Presidential Villa in 2015 when then-incumbent President Goodluck Jonathan lost reelection to former President Buhari.

Former Vice President Atiku Abubakar, the party’s presidential candidate in the 2023 elections, had, last week, announced his decision to join the coalition with other members of opposition parties to challenge Tinubu in the 2027 elections.

Atiku was responding to a call by a former governor of Kaduna State, Mallam El-Rufai, to key members of opposition parties in the country to come together and fight Tinubu and APC in 2027.

El-Rufai had made the call while dumping the APC for the Social Democratic Party (SDP).

In his response, the former PDP presidential candidate confirmed that he, the presidential candidate of the Labour Party (LP) in the 2023 elections, Mr Peter Obi, and El-Rufai, among others, had kick-started a movement aimed at defeating Tinubu’s APC in the 2027 elections.

He spoke at a press conference organized by Nigeria’s key opposition leaders and political stakeholders to discuss the President’s controversial declaration of state of emergency in Rivers State.

When journalists asked whether the emerging coalition would be the major opposition force against the APC in 2027, Atiku did not mince words.
“Yes,” he declared.

Clarity

Sources within the PDP told Sunday Vanguard at the weekend that the party will expect the former presidential candidate to give clarity to his decision soon.

A member of the party’s National Executive Committee (NEC), who spoke on condition of anonymity because the matter was “yet to be discussed at the official level,” said, “We expect him to shed more light on his decision as we proceed.

“For now, he is still a high ranking member of our party the PDP.

“We have been following his public statements and engagements and he hasn’t announced to anyone that he is leaving or has left our party.

“Yes, he left the party on two previous occasions over the past two decades -first to join Tinubu’s Action Congress (AC) to contest the 2007 presidential election; and in 2013 or thereabouts to join others to form the All Progressives Congress (APC).

“Note, however, that on each of these occasions he returned to the PDP.

“Now, whether he is planning to leave to join others or he wants others to come join us to beat the APC rigging machine in 2027, only he can explain. “For now, from my interactions with members of his team, one thing is clear, this time around, Atiku’s move is a strategic step towards unifying opposition forces against the ruling APC.

‘Significant shift’

“His announcement of the formation of a coalition signals a significant shift in Nigeria’s political landscape, as opposition leaders seek to present a united front against the current administration.

“The proposed coalition is expected to bring together key political parties and stakeholders, including prominent figures like Mr Peter Obi of the Labour Party.

“It’s worth noting that Atiku’s decision might not be universally accepted within the PDP, as some members may have different opinions on the best strategy to challenge the APC in 2027.

“Nevertheless, Atiku’s move demonstrates his commitment to opposing the current administration and his willingness to work with other opposition parties to achieve this goal.”

Identity

The party chieftain further explained that a majority of leaders and members of the PDP are resolute in their desire to ensure that the party retains its identity.

According to him, a former governor of Jigawa State, Alhaji Sule Lamido, spoke the minds of most leaders and members of the PDP when he dismissed El-Rufai’s call to dump the party and join the SDP.

Lamido said in an interview, “The party we formed, the PDP, is the one that gave birth to El-Rufai. You’re not enough to make us leave the PDP.

“He (El-Rufai) once said that there are no elders in Nigerian politics, but now he is calling on us to join him in the SDP.”

Lamido equally questioned El-Rufai’s motive for dumping the APC for the SDP and his motivation for seeking power.

“Leadership is done with patience and vision, and doing things for the peace of the followers and the country as a whole”, he said.

While restating his loyalty to the PDP, Lamido said the party which he helped to form hasn’t done anything wrong to warrant him leaving to join another.

His views resonated with another leader and foundation member of the PDP, Chief Bode George, who has told whoever cares to listen that he is in the PDP to stay.