Founder of Rifugio Communications Limited, Dr Kayode Thomas, has attributed the higher cost of Chinese mobile phones in Nigeria to import duties, exchange rate pressures, and the high cost of doing business, dismissing claims that phone importers are exploiting consumers. Speaking with The PUNCH, Thomas said phones may be cheaper in China but become more expensive after logistics and regulatory costs are added, noting, “Many things are cheaper in China… You have to get there to get it, and then you import. Do you know what the duties are?” He explained that beyond product costs, retailers face heavy operating expenses including rent, salaries, utilities, demurrage, and currency volatility, adding that when prices are converted to naira, devices bought abroad are often comparable to local prices but without warranty protection.
Thomas said his confidence to keep investing in Nigeria is driven by the country’s vast market potential despite economic headwinds, urging government to prioritise economic and exchange-rate stability to aid planning. He said, “The environment is tough, no doubt about that. But if you can weather the storm, you will achieve success,” adding that currency fluctuations create uncertainty that can “kill a business.” Reflecting on Rifugio’s decade-long growth from a single outlet in 2015 to over 24 locations nationwide, he outlined expansion plans beyond Lagos and stressed resilience for entrepreneurs, advising, “Stay the course. Be patient, be resilient, be determined, be dogged,” while noting that innovation and frequent model launches reflect consumer demand rather than forced overspending.