The Federal Competition and Consumer Protection Commission (FCCPC) has issued a one-month ultimatum to traders and market stakeholders engaged in exploitative pricing to reduce the prices of goods.
This directive was announced by the FCCPC’s Executive Vice-Chairman, Tunji Bello, during a one-day stakeholders’ engagement on exploitative pricing in Abuja.
Bello highlighted the growing trend of unreasonable pricing of consumer goods and services, as well as the unethical practices of certain market associations involved in price fixing. He stated that the FCCPC, after conducting extensive market surveys across the country, found that the situation was “disturbing,” with significant price gouging and disproportionate price margins, particularly for imported goods and locally produced items in the retail segment.
In light of these findings, the FCCPC emphasized that while it acknowledges the challenges posed by an unfavorable exchange rate on production costs, the excessive price margins being imposed are unjustifiable. The commission has warned that it will begin enforcement actions against defaulters following the expiration of the one-month notice, invoking the full weight of the law if necessary.
Despite the warning, Bello stressed that the FCCPC’s approach is not solely punitive. The commission seeks to foster collaboration and dialogue with market stakeholders to create a fair marketplace. This intervention comes amid worsening inflation in Nigeria, recently reported by the National Bureau of Statistics (NBS) at 33.40%, with food inflation exceeding 40%, exacerbated by the end of fuel subsidies announced by President Bola Tinubu on May 29, 2023.