Fuel Imports Jump Nearly 97% In March Despite Rising Local Refining Output

Nigeria recorded a sharp increase in petrol imports in March 2026, even as domestic refining capacity continued to expand, according to fresh industry data.

Figures released by the Nigerian Midstream and Downstream Petroleum Regulatory Authority showed that daily petrol imports rose from 3.0 million litres in February to 5.9 million litres in March, marking a surge of nearly 97 per cent within one month.

The rise in imports comes at a time when local production is also gaining momentum, largely driven by increased output from the Dangote Petroleum Refinery and other domestic refiners.

Domestic petrol supply climbed from 30.5 million litres per day in February to 34.2 million litres per day in March, reflecting stronger contributions from local refining operations.

Brandspur Business Desk reports that total petrol supply in the country saw only a marginal increase during the period, rising from 39.5 million litres per day to 40.1 million litres per day.

Despite the spike in imports, locally refined products continued to dominate supply, with the Dangote refinery accounting for a significant share of national consumption.

Operational data indicated that the refinery ran at an average utilisation rate of over 93 per cent in March, producing approximately 48.2 million litres of petrol daily, out of which 34.2 million litres were supplied to the domestic market.

This positioned the facility as the single largest contributor to Nigeria’s fuel supply, accounting for more than 70 per cent of estimated national consumption during the period.

However, overall petrol demand declined sharply, dropping from 56.9 million litres per day in February to 47.3 million litres per day in March, a trend analysts attribute to rising pump prices.

Fuel prices climbed to around ₦1,275 per litre during the month following multiple price adjustments, putting pressure on consumer demand.

Also read: https://brandspurng.com/2026/04/15/climbing-the-ladder-how-insights-teams-build-trust-and-scale-agentic-ai/

Stock sufficiency also weakened, falling from 30.7 days in February to 21.2 days in March, raising concerns about tightening inventory levels despite increased import volumes.

Industry stakeholders have warned that the reduction in stock cover could expose the country to potential supply disruptions if not addressed promptly.

The situation has been linked partly to regulatory decisions around import licences, as authorities initially restricted permits to encourage local refining before later easing the policy to stabilise supply.

Oil marketers have continued to advocate for a more liberalised downstream sector, arguing that broader participation in fuel importation would enhance competition and help moderate prices.

They maintain that while domestic refining remains critical for long-term energy security, imports are still necessary in the short term to bridge supply gaps and prevent shortages.

Meanwhile, diesel supply experienced a notable decline during the period, while liquefied petroleum gas supply remained stable with slight improvements in domestic contributions.

Experts say the current dynamics highlight the complexity of Nigeria’s transition towards self-sufficiency in fuel production, where growing local capacity must be balanced with strategic imports to maintain market stability.