The Federal Competition and Consumer Protection Commission (FCCPC) has issued a one-month moratorium for traders and market stakeholders involved in exploitative pricing to reduce the prices of goods. The newly appointed Executive Vice Chairman of the FCCPC, Mr. Tunji Bello, made this announcement during a one-day stakeholders’ engagement on exploitative pricing held on Thursday in Abuja.
Bello stated that after the one-month period, the commission would begin strict enforcement against those who continue to engage in unreasonable pricing practices. The meeting aimed to address the increasing trend of inflated prices of consumer goods and services and the harmful practices of market associations.
One striking example Bello highlighted was the price of a fruit blender, known as Ninja, which was being sold for $89 (approximately ₦140,000) at a popular supermarket in Texas, USA. However, the same product was found to be priced at ₦944,999 at a supermarket in Victoria Island, Lagos. Bello questioned the justification for such a significant price hike compared to its cost in the United States.
Bello warned that these unwholesome practices, including price fixing, threaten the stability of the Nigerian economy. Under Section 155, violators—whether individuals or corporate entities—could face severe penalties, including substantial fines and imprisonment if found guilty by the court. However, Bello emphasized that the commission’s current approach is not punitive and urged stakeholders to cooperate in the spirit of patriotism.
“We are giving a moratorium of one month (September) before the commission will start firm enforcement,” Bello said.
He also acknowledged that the government is aware of the challenges raised by market stakeholders, such as the high cost of transportation, insecurity, and multiple taxation, which contribute to the rising prices of goods and services.
Some stakeholders at the engagement, like Ifeanyi Okonkwo, Chairman of the National Association of Nigerian Traders, FCT Chapter, pointed to high charges on imported goods at the ports as a factor driving up prices. Okonkwo suggested that the commission set up a task force and involve the association in enforcement efforts.
Other stakeholders, including representatives from various market sectors, highlighted issues such as exorbitant transportation costs, high bank interest rates, rent increases, and hikes in prices by supply chains as contributing factors to the inflated prices.
Report has it that various market associations attended the engagement, where they expressed their concerns and appealed for a more balanced regulatory approach.
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