Andy Ezeani
Aliko Dangote, chairman of the Dangote Group, is rarely introduced these days in the Nigerian media, or indeed, in any public forum, without the appellation, “the richest man in Africa”.
That, of course, is who he is. It is not an honorary title. The tag is as descriptive as it is a tribute to his lofty accomplishment. Instructively, with well over US$24billion in net worth, Dangote is as single-minded in his desire to make money as he remains aggressive in expanding his business frontiers.
His ambition does not seem to have mellowed from where it was in 1977 when he established the Dangote Group at the age of 20 years. Indeed, the very tendencies that propelled him at the onset seem to have become more self-engrossing. What is Dangote without the drive to expand the horizon of money making?
There can be no better statement on the triumph of Dangote as an entrepreneur than his prime seat among the pantheon of global capitalists. He has succeeded, through a combination of strategies, to hoists his flag not only atop Nigeria’s business landscape but pre-eminently above Africa.
Aliko Dangote did not get to the mountain top by being a nice guy. Far from that. Neither the capitalist manifesto nor indeed, any other primer on how to acquire wealth, prescribes any moral principle. The Marxist theories are very clear about it; wealth is always built on exploitation.
Theories of wealth and accounts of how people acquire wealth abound. Some, not many, really, came through inheritance. Some rose by way of aligning with the government to gain patronage and advantage. Others traveled the damn crooked way. Quite a number went by the way of sheer grit, foresight, and talent.
Yet others owe their fortune to “offering to the market what it needed and at a competitive price”. No nice guy who came by fortune and continued playing fair retained his fortune for long.
All societies need men who dare, men and women whose entrepreneurial acumen add value to the economy. All serious states,however, watch them carefully. Their greed just must be moderated.
In the 48 years of his phenomenal rise, Dangote has countenanced no hinderances on his way. The state has been more on his side than on his way. Even at that, he has deployed various tactics and stratagem that left many competitors reeling.
Have his methods always been fair? He did not promise anybody fairness. Does he take kindly to competition? The answer is no. Not that he cares.
The ongoing face off between Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) and Dangote Refinery management, over distribution of petroleum products has, once again brought to the fore the issue of Dangote and his inclination to dominate his business environment.
The charge by NUPENG is that Dangote Refinery also wants to control the distribution of petroleum products and, at the same time control production. He wants to run distributors out of business. For those who have contended all along that Dangote does not thrive where there is competition, the quarrel over distribution of petroleum products lends credence to the allegation. Of course, there are always two sides to a dispute, so Dangote Refinery must have its own narrative.
NUPENG is peeved by what appears to be an uncompromising stance by Dangote Refinery, not only to inaugurate a parallel line for distribution of products, but to akso force all truck drivers it hires not to join the union of petroleum product distributors. That is a direct assault on the foundation of NUPENG and the right of workers to unionize.
The leadership of NUPENG was stung by its recent experience, when it tried, alongside the leadership of the National Association of Road Transport Owners (NARTO), to discuss with Dangote over the contentious issue.
According to NUPENG’s accounts, following a public announcement by Dangote Refinery of plans to buy and deploy 10,000 Compressed Natural Gas(CNG) buses to distribute petroleum products nationally, the unions sought an interface with Dangote, to know his plans.
When, eventually, the meeting held, it was with Alhaji Sayyu Aliu Dantata of MRS Petroleum, who represented himself and his cousin Aliko Dangote. To the shock of the union leadership, NUPENG recounted, Alhaji Dantata bluntly told them that he and his cousin, Dangote have resolved to established a monopolistic control of both oil refining and distribution, hence the importation of 10,000 trucks for distribution of the products.
For good measures, the union leaders were told by Dantata that the drivers the Dangote/Dantata amalgam will engage will not be allowed to join any union.
To NUPENG,” Dangote has chosen to betray (their) trust by scheming to monopolise distribution, crush competition and enslave the sector while raising prices, which would ultimately result in an attack on the living standards of ordinary Nigerians.”
The union charges that “this is not philanthropy. It is an economic sabotage.” It reports that it has tried to get relevant authorities in the country to make Dangote and Dantata to toe the “line of decency”, but nobody is giving them attention. It will be surprising if they are surprised at that. So NUPENG has issued notice of a national strike to press home their agitation.
Interestingly, Petroleum Tanker Drivers (PTD), a group that naturally should align with NUPENG, has distanced themselves from the strike NUPENG called.
PTD has even called on security agencies to apprehend the NUPENG leaders for acts of sabotage against the country. PTD saw nothing untoward in Dangote installing a parallel distribution line for petroleum products or forcing its tanker drivers not to unionize.
However, Nigerian Labour Congress and Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) have identified with NUPENG, signaling possible inconveniences in the days ahead.
Yesterday, Minister of Labour and Productivity, Employment, Muhammed Maigari Dingyadi issued a tepid plea, assuring that “the matter will be resolved amicably to the satisfaction of all the parties involved”. As always, it has to get to the point of strike before the government stirs.
What NUPENG is tasting is the Dangote formula. That is the way he rolls. Following the establishment of Dangote cement in 1992, the cement industry in the country experienced an unprecedented quake. Subsequently, Dangote Cement acquired Obajana cement, Kogi state, in 2002 and Benue Cement Company, Gboko in 2005. Ibeto Cement was simply run out of the industry.
Dangote Cement became the undisputed cement producer and supplier in the country. It remained so until BUA Cement barged into the industry, waving spear and dagger.
The commencement of business by Dangote Refinery on September 3, 2024, heralded another landing of a leviathan from the Dangote Group.
NUPENG and its allied unions are going through a pang foretold. Whether the agitation will come to anything is left to be seen.
Dangote’s group will always be themselves. Ordinarily, there ought to be no big issue if the Nigerian state exists in truth and in deed. The answer to such shark tendency as Dangote and capitalist behemoths manifest wherever they operate lies in a sturdy ant-trust law and mechanism that keep their open jaws in check. Unfortunately, no such mechanism exists in Nigeria.
