The Federal Competition and Consumer Protection Commission (FCCPC) has issued a one-month ultimatum to traders and other market stakeholders involved in exploitative pricing practices to reduce the prices of goods. This announcement was made by the newly appointed Executive Vice Chairman of the FCCPC, Mr. Tunji Bello, during a one-day stakeholders’ engagement on exploitative pricing held on Thursday in Abuja.
Bello emphasized that after the one-month moratorium, the commission would begin strict enforcement of the regulations. The engagement was convened to address the growing trend of unreasonable pricing of consumer goods and services, as well as the unwholesome practices of market associations.
Citing an example of exploitative pricing, Bello mentioned that a fruit blender known as “Ninja,” which sells for $89 (approximately N140,000) at a popular supermarket in Texas, was being sold for N944,999 in a supermarket on Victoria Island, Lagos. He questioned the justification for such a significant price hike compared to its price in the United States.
Bello warned that such practices, including price fixing, are threatening the stability of the Nigerian economy. He pointed out that under Section 155 of the FCCPC Act, violators—whether individuals or corporate entities—face severe penalties, including substantial fines and imprisonment if found guilty by the court. However, he clarified that the commission’s current approach is not punitive, urging stakeholders to embrace patriotism and cooperation.
During the engagement, market stakeholders highlighted several factors contributing to the continuous rise in prices, including high transportation costs, insecurity, and multiple taxation. The Chairman of the National Association of Nigerian Traders, FCT Chapter, Ifeanyi Okonkwo, pointed out that high charges on imported goods at the ports also contributed to the price hikes.
Stakeholders called for the creation of a task force to enforce fair pricing, with some suggesting that their associations be involved in the process. Concerns were also raised about high bank interest rates, rent increments, and excessive electricity charges by distribution companies.
The FCCPC’s ultimatum reflects the government’s commitment to addressing the concerns of both consumers and businesses, with the goal of creating a more stable and fair marketplace in Nigeria.
