Aliko Dangote, Chairman of the Dangote Group, has announced that his company will be halting its investments in Nigeria’s steel industry. This decision comes in response to concerns about potential monopoly practices.

Dangote revealed this shift during a recent press conference, amidst ongoing disputes with the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

The NMDPRA’s Chief Executive Officer, Farouk Ahmed, had previously raised concerns about Nigeria’s reliance on the Dangote Refinery for petroleum products, suggesting that it posed a monopoly risk. Ahmed also criticized the quality of petroleum products from both the Dangote Refinery and other local refineries.

In light of these issues, Dangote explained that the board of his company has chosen to withdraw from the steel sector to avoid further accusations of monopolistic behavior, similar to those currently directed at their operations in the petroleum industry. He noted that by stepping back from the steel business, the company hopes to prevent the same criticisms and encourage competition.

“Own board has decided that we shouldn’t do the steel because if we do the steel business, we will be called all sorts of names like monopoly. And then also, imports will be encouraged. So we don’t want to go into that.

“Let other Nigerians go and do it. We are not the only Nigerians here. There are some Nigerians with more cash than us. They should bring that money from Dubai and other parts of the world and invest in our fatherland,” he said

Dangote further emphasized that there are other wealthy Nigerians who could invest in the steel industry. He suggested that those with substantial resources, potentially even from abroad, should step in and invest in Nigeria’s steel sector.