Nigerian fuel traders are ramping up petrol imports to augment supply from the Dangote Refinery following worsening fuel queues, the head of a local traders group said on Thursday.

The Dangote Refinery began processing petrol in September, with plans to supply an initial 25 million litres daily and gradually ramp up output to the 35 million the company believes would satisfy local demand.

"Our members have been importing petrol for weeks to meet the shortfall from the Dangote Refinery," said Clement Isong, CEO of the Major Energies Marketers Association of Nigeria.

Other traders grouped under the Independent Petroleum Marketers Association say they plan to begin importing too, citing inadequate supply from the $20 billion Dangote Oil Refinery.

In the past only the state-owned NNPC could import because they sold below cost, but since a price review last week allowed for market prices, local fuel traders see an opportunity to compete.

Dangote Refinery said its supplies were in line with its targets. "Our daily average is above 25 million, anyone can come and check our records," its head Edwin Devakumar said.

Nigerian petroleum industry law empowers processing sector regulator the Nigerian Midstream and Downstream Petroleum Regulatory Authority to monitor volumes and ensure energy security. It did not immediately respond to questions.

Meanwhile Kpler data on gasoline imports into Nigeria show its September imports were 274,000 barrels per day, up from 230,000 bpd in August. In the first 16 days of October, Nigeria has already imported 180,000 bpd.

However fuel queues have worsened in major Nigerian cities, adding to widespread frustration as Nigerians have to pay more for a product that has become harder to purchase.

Some analysts say the queues would have been worse if prices had not put the product out of the reach of many car owners.

(Reporting by Isaac Anyaogu; Additional reporting by Ahmad Ghaddar and Camillus Eboh; Editing by Jan Harvey)