Aliko Dangote, President of the Dangote Group, has stated that high taxes and regulatory costs in Nigeria are the primary reasons his company’s cement is more expensive locally than in export markets.
He explained that exporting allows the company to avoid several domestic charges, making foreign sales cheaper.
“When you look at my invoice, the cement I export is cheaper than the one I’m selling domestically,” Dangote said.
He listed avoided costs including a 30% income tax, 2% education tax, 1% health levy, 7.5% VAT, and 10% withholding tax.
By removing these burdens, Dangote argued he could price Nigerian cement competitively against major international producers.
“So when you reduce all these taxes, I can afford to go and compete with the international market, with the likes of Turkey, Russia, and China,” he stated.
While Dangote has long advocated for local manufacturing to achieve economic self-sufficiency, this explanation addresses persistent questions about why his products are often cheaper outside Nigeria.
The situation highlights a structural issue in Nigeria’s fiscal framework, which can make it more economical to sell locally produced goods abroad than at home.
Dele Fashomi, seasoned journalist and communication teacher, is a holder of Master of Arts degree in Communication and Language Arts from the University of Ibadan in 1992/93.
Earlier, he had bagged a Bachelor degree from the same university in 1984, after which he proceeded to the Nigerian Institute of Journalism, Lagos, in 1990, for a postgraduate diploma in Journalism.
He had done many courses in communication, including the EU-BBC Editing Course in 2002.
Mr. Fashomi combines effectively the practice, research and teaching of communication. And to date, he has published two academic works in communication: Issues in Communication Technology and Policy (2010) and Economic and Social Issues in Advertising and PR (2013).
He had his first break in the Nigerian media in Concord Newspapers in 1990 and today, he has over two and half decades experience earned in several newspapers.
He has been part of many start-ups, such as The Republic (1987), The Comet (1999), The Anchor 2001 – 2002; Sun Newspapers (2003); Westerner newsmagazine (2005 – 2010) as Editor; National Life (2011) as Sunday Editor, and Newswatch Newspapers (2012- 2016) as Daily Editor.
Dele Fashomi is now the Publisher/Editor-in-Chief of Newstide247.com newspaper online, which he started in July 2015. He is also into biography writing, with many books in his trail, some of which he wrote alone and one he co- authored with his mentor, Mr Dare Babarinsa, entitled: Olabiyi Durojaiye – DARE TO BE DiFFERENT. He also guided and collaborated with Pa Olatunji Odusanya in writing his autobiography – AGAINST ALL ODDS. There are many other books in the works under his pen.
