Search

Beyond Oil: Dangote Builds Africa–India Economic Future

Beyond Oil: Dangote Builds Africa–India Economic Future

Founder and President of the Dangote Group, Aliko Dangote has reaffirmed the company’s long-standing partnership with India as the conglomerate moves into a new phase of expansion across its refinery, petrochemical, and fertilizer operations. Speaking during an interview on Business Today, Dangote explained that the collaboration with Indian companies has been central to the growth of the group’s industrial projects.

He disclosed that the relationship began in 2003 when Dangote Industries launched a major expansion of its cement business. “Our partnership with India started over 20 years ago, and since then, Indian companies have played a key role in delivering high-quality engineering and fabrication for our projects,” he said.

YOU CAN ALSO READ: Ugochukwu Omeogu on Why Knowledge, Not Effort, Drives Real Success

Dangote praised Engineers India Limited (EIL), which led the detailed engineering and EPCM work for the refinery and petrochemical plant. “EIL delivered excellently, and that is why we have continued to work with them,” he noted. He added that the group procured about $2.5 billion worth of equipment from Indian manufacturers and engaged more than 10,000 Indian workers for fabrication and construction. “Their quality is the reason we maintain this partnership,” he stated.

Dangote revealed that the refinery’s capacity will be expanded to 1.4 million barrels per day, alongside modifications to accommodate additional crude types. In petrochemicals, production of polypropylene will rise from about 900,000–1 million tons to 2.44 million tons. “This expansion positions us to become one of the lowest-cost refiners in the world,” he said.

He described the move as strategically aligned with global and regional needs. “Every African country is an importer of refined petroleum products. With our location in West Africa and proximity to major sea routes, we can reach Europe, Brazil, and the U.S. easily,” he explained. He also pointed to rising global demand for jet fuel amid airline fleet expansion: “Jet fuel demand is growing. We want Africa to be our primary market while we also serve the international market.”

Dangote said the partnership is expected to unlock more than $5 billion worth of orders for Indian companies over the next 18 to 20 months, including equipment manufacturing, steel structures, fabrication, and shipping. “There is a huge opportunity for India in this expansion phase,” he said, noting that support from India Exim Bank would further strengthen cooperation.

He also spoke on the fertilizer plant expansion from 3 million to 12 million tons. “Fertilizer must be available on time. If it arrives late, farmers cannot use it. This expansion will help Africa eliminate seasonal shortages and also supply India competitively,” he said, adding that shipping time to India ranges from 30 to 35 days.

Explaining why Dangote Industries continues to favour Indian partners, he said the decision is based purely on performance. “Indian engineering and fabrication are of very high quality. India is about 15 years ahead of Africa industrially, and we see them as a strong learning partner,” he remarked.

YOU CAN ALSO READ: “Boldness Conquers the Market”: Dr. Onuaha Nnachi Challenges Nigerian Entrepreneurs at LIMBSimple Strategy Growth Convention

He noted that the company’s Vision 2030 retreat was held in India to study how top Indian businesses evolved. “We chose India because there is a lot we can learn. The future will involve deeper collaboration between India and Africa,” he said.

Commenting on market volatility, Dangote expressed confidence in the durability of the refinery and fertilizer strategy. “Africa will remain our primary market for gasoline and diesel, and global demand for jet fuel is rising. Our financing is secure, and we understand the geopolitical risks,” he stated.

He concluded by emphasizing the group’s long-term commitment to industrial growth. “We believe the partnership between India and Africa will only get stronger. This is the direction we are heading, towards joint creation, not just trade,” he said.

SHARE THIS STORY

© 2025 EnterpriseCEO all right reserved. | Developed & Powered by MDEV