Despite Full Deregulation, Petrol Smuggling to Neighboring Countries Persists – Customs

The Nigeria Customs Service (NCS) has revealed that despite the full deregulation of the petroleum sector, petrol smuggling to neighboring countries continues at an alarming rate.

As part of its “Operation Whirlwind”, the NCS has intercepted 273,670 liters of smuggled petrol in the past three months, particularly in border communities leading to Benin Republic, Togo, and Chad.

Key Smuggling Routes Identified

According to Comptroller General of Customs, Adewale Adeniyi, major smuggling routes in the South West include:

  • Seme-Badagry corridor (35% of smuggled petrol)
  • Ogun border via Imeko-Afon, Ilaro-Ojodan, and Owode-Ajilete (65%)

Adeniyi noted that many retail outlets near borders are being used for smuggling, as their number far exceeds local demand.

Why Smuggling Persists?

Experts attribute the continued smuggling to price differences between Nigeria and neighboring countries.

  • Nigeria’s petrol price: $0.763 per liter
  • Ghana’s petrol price: $1.02 per liter
  • Togo’s petrol price: $1.092 per liter

These differences create a lucrative black market, making smuggling highly profitable.

Customs’ Tough Stance on Petrol Smuggling

Adeniyi emphasized that the ban on petrol supply to border communities will remain until smuggling reduces significantly.

“Some marketers still divert fuel to the wrong channels. We have seized multiple trucks under investigation. Some claim bad roads forced them to change routes, but many are caught attempting to smuggle fuel.”

Expanded Crackdown and Future Plans

  • Customs is engaging local communities to discourage cooperation with smugglers.
  • Legal actions are ongoing, with two arrests in Adamawa related to smuggling.
  • “Operation Whirlwind” was initially a three-month mission but has been extended due to ongoing violations.

Adeniyi assured that Customs remains committed to eliminating fuel smuggling to protect Nigeria’s economy.

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