The removal of petrol subsidy by the Nigerian government has severely upset the black market economy in several communities in neighbouring Cameroon, Benin and Togo, with fuel traders left without jobs, according to a news report by Reuters.
Fuel black markets in those countries thrived for years, relying on cheap petrol smuggled from Nigeria.
Marketers working with corrupt officials in Nigeria shipped petroleum products across the border to power the sector, making it difficult to determine the amount of fuel consumed in Nigeria daily.
With the subsidy gone, Nigerians are not the only ones affected by high prices.
The price of black-market petrol has been unable to compete with the official market in neighbouring countries.
– Go fishing
Reuters reported on Monday that the illicit sector was so widespread that in Cameroon, for instance, regular petrol stations in regions close to the Nigerian border largely stayed empty as customer patronised the black market.
With the subsidy gone, things have changed – significantly.
In Garoua, a town in northwest Cameroon near the Nigerian border, a litre of black market petrol cost around 300 CFA francs ($0.48) before. Now it is double the amount.
It has affected the commercial motorcycle industry, with many now idle or off to other trade.
– Benin too
At Hilacondji, a border crossing between Togo and Benin, some black-market fuel stalls were shut, while at other vendors waited among rows of empty plastic jerricans for potential deliveries.
One trader said that while they were waiting for the situation to improve, some have gone into fishing or other small businesses. Ayi Hilla had been making a living from selling contraband fuel for 10 years. Now the trader focuses on a roadside bar.
The report said some informal fuel depots were being demolished, and men who used to work there unloading petrol were now unemployed.
In Benin capital, Cotonou, queues now build up at official petrol station as motorcyclists suddenly start going there, not the black market.
“Before, we were selling about 2,000 litres per day, but now we’re selling up to 7,000 litres per day,” one filling station worker was quoted as saying.
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