Market Size of Africa Refined Petroleum Products Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | > 5.00 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Africa Refined Petroleum Products Market Analysis
The Africa refined petroleum products market is expected to grow at a CAGR of more than 3.5% in the forecast period of 2022-2027. African country's oil & gas sector is export-dependent. The oil & gas industry mainly relies on China, the United States, and countries in Europe as a significant portion of oil & gas is exported to these regions. During the Covid-19 pandemic, governments all across the globe imposed stringent restrictions, which affected the demand for oil & gas from the transportation and power generation industries. Factors like the rising demand for oil & gas for electricity and transportation in the African region are expected to drive the refined petroleum products market in Africa. However, the Covid-19 pandemic has adversely affected Africa's oil & gas industry. Many refinery projects were delayed or put on hold due to a lack of funding. Furthermore, the FDI in the oil & gas industry also dropped significantly during the last two years. These factors are expected to hinder the growth of the refined petroleum products market in the forecast period.
- The middle distillates segment is expected to dominate the market during the forecast period. Owing to higher demand for middle distillate from the application such as heating, power generation, and transportation.
- The Africa region witnessed a rise in demand for electricity and transportation fuel. This rise is due to the steady growth in urbanization and industrialization. This trend is expected to continue in the future. Furthermore, In Africa, the use of solid fuels such as wood, charcoal, or coal is high for cooking activities. For instance, in the sub-Saharan Africa region, 80% of the population cooks with solid fuels, which can be replayed by kerosene or liquid petroleum gas (LPG). Currently, in sub-Saharan Africa, kerosene consumption is 7% - 10%, and LPG is around 4%. This low utilization of refined petroleum products in the region could offer a significant opportunity in the market.
- Nigeria is expected to dominate the refined petroleum products market. The country is one of the region's leading oil & gas producing countries. It has also witnessed significant investment in the refinery sector, which is expected to drive the refined petroleum products market in the country.
Africa Refined Petroleum Products Industry Segmentation
The Scope of Africa refined petroleum products market includes:-
| Type | |
| Light Distillates | |
| Middle Distillates | |
| Heavy Distillates |
| Geography | |
| Nigeria | |
| Algeria | |
| Egypt | |
| South Africa | |
| Rest of Africa |
Africa Refined Petroleum Products Market Size Summary
The Africa refined petroleum products market is poised for growth, driven by increasing demand for oil and gas in electricity generation and transportation. The region's oil and gas sector is heavily reliant on exports, primarily to China, the United States, and Europe. Despite the challenges posed by the Covid-19 pandemic, which led to delays in refinery projects and a significant drop in foreign direct investment, the market is expected to expand. The middle distillates segment, including jet fuel, gasoil, diesel, and kerosene, is anticipated to dominate due to its applications in heating, power generation, and transportation. Urbanization and industrialization are further fueling the demand for refined petroleum products, presenting significant opportunities for market growth.
Nigeria is expected to lead the market, bolstered by substantial investments in its refinery sector and its status as a major oil and gas producer. The country's economic reliance on the oil and gas industry underscores its importance, with plans for significant investments in refineries like the Dangote refinery, which is set to become Africa's largest. The African Continental Free Trade Area (AfCFTA) is also expected to enhance trade and boost demand for marine fuel. Additionally, rising rural-urban migration and increased electricity demand in urban areas are contributing to the market's expansion. The market remains moderately fragmented, with key players including Puma Energy Holdings, Nigerian National Petroleum Corporation, Vivo Energy, TotalEnergies, and Shell.
Africa Refined Petroleum Products Market Size - Table of Contents
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1. MARKET OVERVIEW
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1.1 Introduction
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1.2 Refined Petroleum Products Consumption in thousand bbl per day, till 2027
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1.3 Recent Trends and Developments
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1.4 Government Policies and Regulations
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1.5 Market Dynamics
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1.5.1 Drivers
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1.5.2 Restraints
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1.6 Supply Chain Analysis
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1.7 Porter's Five Forces Analysis
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1.7.1 Bargaining Power of Suppliers
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1.7.2 Bargaining Power of Consumers
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1.7.3 Threat of New Entrants
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1.7.4 Threat of Substitute Products and Services
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1.7.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 Type
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2.1.1 Light Distillates
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2.1.2 Middle Distillates
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2.1.3 Heavy Distillates
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2.2 Geography
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2.2.1 Nigeria
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2.2.2 Algeria
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2.2.3 Egypt
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2.2.4 South Africa
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2.2.5 Rest of Africa
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Africa Refined Petroleum Products Market Size FAQs
What is the current Africa Refined Petroleum Products Market size?
The Africa Refined Petroleum Products Market is projected to register a CAGR of greater than 5% during the forecast period (2024-2029)
Who are the key players in Africa Refined Petroleum Products Market?
Puma Energy Holdings Pte Ltd, Nigerian National Petroleum Corporation (NNPC) , Vivo Energy Plc, TotalEnergies and Shell plc are the major companies operating in the Africa Refined Petroleum Products Market.
