Diesel Takes Up 80% Of Our Profit – Manufacturers Association Of Nigeria (MAN)

Manufacturers have lamented the high cost of automotive gas oil (AGO), also known as diesel, which is used in generating power for their operations, noting that product gulps about 80 percent of their profits.

Speaking on the plight of manufacturers against the backdrop of rising prices of their products, the Director General of MAN, Segun Ajayi-Kadir, said manufacturers should not be blamed for inflating prices of products, considering their high cost of production.

However, a bit of relief may have come the way of the manufacturers following the recent crash of the price of diesel by 29.4 percent by Dangote Refinery.

The refinery now supplies the product at a substantially reduced price of N1,200 per litre, representing a 29.4 percent reduction from the previous market price of about N1,700 per litre.

On the high cost of energy, Ajayi-Kadir stated: “We have at different fora informed government and relevant agencies of what to do to bring down these inimical worsening high operating costs in the country. Nigerians should not blame local manufacturers for increasing the cost of goods, because they are being confronted with debilitating conditions.

Source:- Vanguardngr