Confusion looms over Algeria’s lubricant market this week after the reported lifting of a monopoly on the import of lubes and other products.
Several local news groups – initially Mahgreb Emergent in an article published Monday – reported this week that the country’s Ministry for Foreign Trade and Export promotion issued a note permitting any company to import several types of petroleum products, including lubricants, bitumens and chemical additives.
The ministry said it was taking the action because Naftal, a national oil company that has held the monopoly, was not keeping up with domestic demand.
On Wednesday and Thursday, though, multiple reports said the presidency’s general directorate for communication denied any change in the monopoly. El Mouhajid today reported that the previous order giving Naftal the monopoly “remains in force and has not been subject to any revision” and that Naftal remains “the sole official body for the import of lubricants and tires.”
Naftal and a few other companies do produce lubricants in Algeria, but the country relies on imports to meet demand for certain types of products.
In May of 2024, the Council of Ministers granted Naftal, formally named the National Company for the Marketing and Distribution of Petroleum Products, sole permission to import lubes and other products. According to local news groups, shortages of some products have since developed, causing tensions in the market.