Business tycoon hints on possible fuel price hike.

The Cameroonian business tycoon who is also known for his involvement in trade, infrastructure projects and a power mind in the Bestway Finance Ltd company, which is involved in major projects like the Mbalam Iron ore development, and related railway infrastructure between Cameroon and Congo, explains that the upward pressure is largely driven by global market forces, making any sustained price stability difficult to maintain. 

He was speaking during a special interview produced by Season Media, a media production house based in Douala. At the heart of the issue of possible price hikes, lies the structure of Cameroon’s fuel supply chain. 

Unlike major oil-consuming economies with direct access to large-scale refineries, Cameroon imports most of its refined petroleum products through intermediaries. 

According to Ketchanga, the country’s consumption volume, estimated at roughly 1.5 million metric tonnes per month, is not sufficient to negotiate directly with international refineries. 

Instead, local marketers rely on traders who themselves purchase from refineries, adding layers of intermediation costs. Each step in the chain, that is; the refinery, trader, and marketer, introduces additional pricing margins. 

“There is a clear differential between accessing products directly and going through intermediaries,” Ketchanga explained, noting that the cumulative costs inevitably translate into higher import prices. 

He said the structural dependency makes Cameroon particularly vulnerable to external shocks. The situation is further compounded by geopolitical tensions, notably the ongoing frictions involving Iran, Israel, and the United States of America. 

The tensions disrupt global oil supply expectations and drive volatility in international crude benchmarks such as Brent crude oil. 

Since Brent prices serve as a reference for global petroleum markets, any spike directly increases the cost of crude oil acquisition. Fuel pricing, he emphasized, begins with the cost of crude oil at the global level. 

“It’s like a stock market,” he said, highlighting the daily fluctuations in barrel prices. Once crude oil prices rise, refining costs and final product prices follow suit. 

For importing countries like Cameroon, this creates a ripple effect that is difficult to absorb without adjustments at the pump, according to the businessman.

It should be noted that despite the pressures, government has so far cushioned consumers from immediate price shocks. 

Through regulatory mechanisms, particularly the national hydrocarbons price stabilization framework, the state has absorbed part of the cost increases. 

The said approach aims to prevent social unrest and protect purchasing power in a context already marked by inflationary pressures.

However, the strategy comes at a significant fiscal cost. By maintaining relatively stable pump prices while international costs soar, the government effectively subsidizes fuel imports. 

In response to this, Ketchanga noted that “the State is taking on a heavy responsibility” to avoid shortages and ensure continuous supply. 

Similar trends have been observed globally, with countries such as France adjusting pump prices upward in response to international market dynamics.

Economically, this raises questions about sustainability. Prolonged subsidies can strain public finances, especially in developing economies with competing budgetary priorities such as infrastructure, health, and education. 

As global tensions persist and oil prices remain volatile, maintaining artificially low fuel prices may become increasingly untenable. That notwithstanding, public perception also plays a role in the debate. 

Fuel pricing is often misunderstood, with many consumers attributing increases solely to domestic decisions. For this reason, the business man argues that this reflects a broader lack of awareness about how global oil markets function.

In reality, local prices are largely determined by external variables beyond the control of national authorities. Ultimately, the trajectory of fuel prices in Cameroon will depend less on internal policy choices and more on the evolution of global geopolitical and economic conditions. 

With the Strait of Hormuz, a critical global maritime chokepoint between Iran and Oman that facilitates the transit of roughly 20% of the world's total oil and Liquefied Natural Gas, LNG, daily, still subjected to tensions between the US, Iran and Israel, consequently disrupting the supply chain, the repercussions are expected to hit hard. 

To this effect, Ketchanga fears that as long as international tensions continue to disrupt supply chains and push up crude oil prices, a rise in fuel costs at the local level appears not just likely, but inevitable in the coming months. 

This article was first published in The Guardian Post Edition No:3781 of Wednesday May 06, 2026