How Vitol Won Exclusive Fuel Deals to Dominate Africa

Bloomberg's Jack Farchy reports on how Vitol used the Hormuz crisis and exclusive fuel supply agreements to become the dominant diesel supplier to East and Southern Africa. The deals helped prevent fuel shortages but were often done outside transparent tenders and were in many cases extremely expensive. The report highlights a concentrated, high-cost regional fuel import market and IMF concerns about non-competitive procurement. - Vitol accounted for over 40% of July diesel shipments to East and Southern Africa. - Several countries signed exclusive fuel deals outside normal tendering processes. - Government officials said the deals prevented serious fuel shortages. - Bloomberg analysis found many deals were extremely expensive and sometimes amended in Vitol's favor. - The IMF favors transparent, competitive tenders to compare offers. - Vitol says it used its financial and logistical heft to ensure security of supply during Middle East disruption.