The Nigeria Customs Service (NCS) has revealed that the smuggling of petrol across the nation’s borders continues unabated, despite the removal of fuel subsidies by the federal government.
Comptroller General of Customs, Adewale Adeniyi, explained that the persistent fuel smuggling is driven by the wide disparity in pump prices between Nigeria and its neighboring countries. Speaking during the NCS’s first quarter performance briefing in Abuja on Tuesday, Adeniyi emphasized that the practice remains highly lucrative.
“Despite the removal of the fuel subsidy, it is still profitable for smugglers to take fuel illegally from Nigeria,” he said. “You know that the prices are dynamic.”
He pointed out that although Nigeria has ended its fuel subsidy regime, the current pump price of Premium Motor Spirit (PMS) within the country remains significantly lower compared to prices in bordering nations, making cross-border smuggling financially rewarding.
“The price of PMS within Nigeria ranges between N880 and N950 per litre,” Adeniyi said. “Meanwhile, the same product is sold for around N1,600 to N2,000 per litre in countries like Cameroon, Niger, and the Benin Republic.”
Even as fuel prices begin to decline slightly in some neighboring nations, the Customs boss noted that the price gap is still substantial enough to encourage smuggling.
“While the price of the products is coming down to around N850 and N900 per liter in places like Cameroon, it is close to N2,000 per liter. In Niger, it is N1,600 per liter, and the same with the Benin Republic,” he added.
To tackle the situation, Adeniyi said the Nigeria Customs Service has launched a special operation to curb the illegal trade.
“This arbitrage provides the incentive. That is why we launched Operation Whirlwind,” he said.
The Customs chief reaffirmed the service’s commitment to curbing fuel smuggling, urging greater collaboration between agencies and continued vigilance at Nigeria’s borders.
