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Marketers urge stricter monitoring of petroleum products distribution to curb smuggling

Some oil marketers on Thursday called for stricter monitoring of supply and distribution of petroleum products following the reopening of four land borders across the country.

The marketers said in Lagos that monitoring of petroleum products from off take to distribution would help curb smuggling activities.

The Federal Government had on Wednesday announced the reopening of four land borders, namely: Seme, South – West, Illela, North West, Maigatari border in the North – West and Mfum in the South-South.

The country’s borders were closed on Aug. 21, 2019 by the government to curb smuggling of goods and weapons.

Mr Wilson Opuwei, the Chief Executive Officer, Dateline Energy Services Limited, said the reopening of the borders was a welcome development.

Opuwei said: “it is a step in the right direction but there is the need to do some sort of close monitoring of what goes around in those places.

“There should be a close monitoring of movement of goods and even humans.

“Also, the government need to monitor the supply and distribution of Petroleum products from end to end.”

According to him, this will encourage products accountability and help curb diversion and smuggling.

“So the reopening of the borders is a good thing because it will encourage trade between Nigeria and  neighbouring countries but government needs to be proactive in ensuring that proper monitoring mechanisms are put in place,’’ he said.

Also, Mr Tunji Oyebanji, Chairman, Major Oil Marketers Association of Nigeria (MOMAN), said the reopening of the borders may likely facilitate smuggling activities unless surveillance was intensified by security agencies.

Oyebanji said smuggling of petroleum products was driven by the price disparity between Nigeria and her neighbouring countries.

He said: “until we fix that, the attraction for smuggling will always be there.

“If we keep prevaricating between allowing market forces to determine price and then announcing price reductions, I don’t think we will see the end of smuggling.

“What I know is as long as you have an artificially low price in Nigeria, there will be an attraction to smuggle products to neighbouring countries. Off course open borders are likely to facilitate the process.”

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