Before the subsidy removal, the price difference was huge and that incentivised smugglers to move fuel across borders.
Despite the removal of fuel subsidies, petrol smuggling continues across Nigeria’s borders, driven by significant price disparities with neighboring countries. Petrol in Lagos averages ₦1,060 per litre, while it sells for up to ₦1,853 in The Gambia, incentivizing illicit trade. “Before the subsidy removal, the price difference was huge and that incentivised smugglers to move fuel across borders,” said one official.
It was noted that smugglers previously earned up to ₦17 million per 6,000-litre truck. Authorities have seized over 650,000 litres of petrol since June 2024, yet smuggling persists due to entrenched networks and corruption. A customs spokesperson acknowledged ongoing challenges, stating, “We still have some incidences in some border stations.”