As new fuel prices hit N488 per litre in Lagos, Logistics startups will increase prices by 50% (techcabal.com)

As new fuel prices hit N488 per litre in Lagos, Logistics startups will increase prices by 50%

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A BusinessDay report has now confirmed that the new pump prices for fuel will range between N488 to N550 per litre.

While fuel price increases will affect every aspect of the Nigerian economy, the logistics and transportation sector will arguably feel the impact first.

The average delivery prices in Lagos range from N1,500 for short distances like Yaba to Ikoyi to N3,000 for deliveries across longer distances like Ikeja to Lekki.

Teniola Olugbode, a Lagosbased entrepreneur who runs Tamak Logistics, told TechCabal that his company is still analysing the situation. We intend to raise prices on Friday, and at the moment, it feels like we have to double the prices of deliveries along all our existing routes.

He said, Cost of fuel remains in our top two drivers of operating expenses, so we have watched the progression of the fuel subsidy conversation.

Price increases will be passed on to customers

MbaKalu shared that logistics startups will likely respond with a 2050 increase in delivery prices.

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