• Demands subsidies for farmers

Ziggy Ojiegbe, with agency reports

Chairman of the Dangote Group, Aliko Dangote, has called on the Nigerian government to introduce targeted subsidies for farmers, warning that surging global oil prices could cripple both agriculture and aviation across Africa.

Speaking at the Semafor World Economy Summit in Washington, DC, held on the sidelines of global finance meetings in the United States, Dangote said urgent intervention is needed to cushion the impact of escalating input costs on farmers ahead of the planting season.

“This farming season, the governments have to actually give subsidies,” he told delegates, pointing to a sharp rise in fertilizer prices and broader cost pressures driven by volatility in global energy markets.

Dangote, whose conglomerate operates Africa’s largest refinery, linked the economic strain to geopolitical tensions in the Middle East, particularly concerns surrounding the Strait of Hormuz.

Oracle Intelligence reports that the critical oil transit route has come under renewed focus amid regional conflicts involving Iran, Israel, and Lebanon, contributing to sharp swings in crude prices.

“Between morning and night, you see oil moving up and down $10. I’ve never seen it like that. Never,” Dangote said, describing the current level of volatility as unprecedented.

The billionaire industrialist warned that the knock-on effects of rising fuel prices are already being felt across Africa’s aviation sector. According to him, many airlines may not survive if current conditions persist.

“The majority of African airlines won’t be able to survive the current surge in fuel prices,” he said, noting that some Nigerian carriers have indicated they could suspend operations by April 20 if costs are not reduced.

Beyond aviation, Dangote painted a stark picture of the agricultural sector, where fertilizer prices have more than doubled in recent months. He said products that sold for about $400 just two months ago are now priced at approximately $850, placing additional strain on farmers already grappling with high transportation and logistics costs.

The combined pressure, he suggested, could lead to reduced agricultural output and heightened food insecurity if governments fail to act swiftly.

Dangote, however, stopped short of advocating a return to subsidies in the petroleum sector, even as rising oil prices continue to push up domestic fuel costs. His position comes at a time when his 650,000-barrel-per-day refinery has become Nigeria’s dominant fuel supplier following the halt in import license issuance earlier this year.

Reports from summit host Semafor noted that Dangote’s remarks followed the quiet withdrawal of a World Bank policy update that had recommended Nigeria reopen petrol imports—a proposal that drew strong opposition from the industrialist.

“Dangote’s comments came as the World Bank quietly deleted an April policy update recommending Nigeria reopen petrol imports — a report that had drawn fierce pushback from Dangote, whose 650,000-barrel-per-day refinery has become Nigeria’s dominant fuel supplier since import licenses stopped being issued earlier this year,” Dangote’s host, Semafor, stated in its report.

While acknowledging the possibility of easing tensions, Dangote said even a best-case scenario such as a diplomatic agreement between the United States and Iran would not immediately resolve the crisis.

“A deal would still mean another two, three months before we go back to normal,” he said, citing supply chain backlogs that would delay any meaningful stabilization in prices.

His comments came shortly after a 10-day ceasefire between Israel and Lebanon raised cautious optimism about broader regional de-escalation and potential progress in talks involving Iran and the United States.

Despite the challenges, Dangote used the platform to reiterate his long-standing call for African economic self-reliance. He urged governments and private sector players across the continent to take greater responsibility for funding development.

“If we don’t commit our own funds to develop our continent, nobody will do that for us,” he said.

His remarks underscore growing concern among policymakers and industry leaders about the vulnerability of African economies to external shocks, particularly those tied to global energy markets. As planting season approaches and airlines confront mounting operational costs, the pressure is likely to intensify on governments to balance fiscal constraints with urgent economic support measures.