Ademisoye Precious

Mr. Godwin Okoduwa, Country Director CCNA, has called on operators in Nigeria’s Liquefied Petroleum Gas (cooking gas) industry to adopt smarter market intelligence strategies and operational efficiency to stay profitable amid persistent price fluctuations.

Speaking during a webinar themed “Getting the Right LPG Prices for Supply,” Okoduwa focused on understanding market realities and operational profitability within Nigeria’s dynamic LPG sector.

He explained that the LPG market remains highly unstable, shaped by both global and domestic forces.

“Today’s price is up, tomorrow’s price is down,” he said.

He emphasized that LPG pricing in Nigeria is influenced by a complex interplay of global and local factors that create constant volatility.

According to him, international price benchmarks such as the Mont Belvieu index determine the baseline for import costs, which fluctuate in response to global supply and demand dynamics.

However, he noted that even when global prices remain stable, foreign exchange volatility and naira depreciation have also impacted landed costs.

Okoduwa urged industry stakeholders to be proactive in their purchasing decisions by tracking both global and local indicators.

“To make strategic buying decisions, we need to monitor local benchmark prices weekly to anticipate local depot adjustments 2–3 weeks ahead.

“Join verified WhatsApp groups for market intelligence and buy before major foreign adjustments hit the market.

“You also need to monitor political situation to know exactly what is going on,” he advised.

Highlighting the operational realities of the industry, he cautioned that profitability now depends on efficiency and adaptability.

“To stay profitable, LPG operators have to optimize operations, ensure smart margin management, and also differentiate services,” he said.

Okoduwa also identified several challenges confronting industry stakeholders, including theft by staff, driver-related losses during deliveries, and inefficient operational management.

He emphasized that technology adoption is key to overcoming these hurdles.

“LPG experts need to adopt tech such as monitoring devices in their operations to enjoy benefits and overcome these challenges,” he said, adding that stakeholders must also stay abreast of emerging industry policies to remain competitive.

The webinar underscored the growing need for data-driven decision-making in Nigeria’s LPG market, as operators navigate foreign exchange instability and volatile global prices to sustain profitability.