The Federal Competition and Consumer Protection Commission, FCCPC, yesterday took its advocacy against arbitrary price fixing to Lagos. This was in an effort to bring down the rising cost of food items in the country.
Recall that in August, the Commission Chief Executive Officer, Olatunji Bello, stepped out for the first time after his appointment to meet with stakeholders in Abuja. At the meeting, he talked tough about price gauging.
FCCPC insisted on stopping exploitation of consumers by traders.
He noted that it is wrong to hinge the manipulative and arbitrary price hike on the temporary economic difficulties.
And at the one-day town hall meeting at Oregun, Lagos, industry representatives and market leaders condemned the abnormal price fixing, hoarding, and artificial inflation. They described these practices as unethical.
According to The Nation, the venue of the meeting was filled with market leaders from various industries. Also in attendance were farmers, traders, NGOs, and the telecommunications sector.
“The large turnout made the gathering feel like a marketplace of ideas. Uniting stakeholders from across Nigeria’s economy, from telecom providers to agricultural leaders.
“The presence of industrialists, service providers, and representatives from the Restaurant and Eateries Association, as well as manufacturers, added to the diversity.
“Banners promoting consumer protection and fair market practices emphasized the call for joint action against exploitation.
“Industry leaders and consumer advocacy groups shared their perspectives on the impact of unethical practices of price gauging and hoarding. They highlighted the need for collaborative solutions.
In his remark, the Director-General of National Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA), Olusola Obadimu, called for a unified economic policy that would address the foreign exchange crisis and electricity pricing.
According to the stakeholders, indiscriminate price hike had exacerbated the already high cost of living, thereby pushing many Nigerians into hardship.
Addressing the meeting, Bello decried the manipulative high prices of food and household items in Nigerian market places. He lamented that some traders have formed cartels and imposed excessive fees on consumers. This, he said have artificially raised prices beyond reasonable margins.
The FCCPC boss warned that these illegal actions have contributed to the economic strain being felt by ordinary Nigerians.
He said FCCPC was aware of the activities of traders coordinating price hikes and manipulating the market to exploit consumers.
Bello tendered vital statistics that alluded to a locally manufactured blender sold in Lagos markets for N950,000. While the same product was being sold for N140,000 in the United States.
He said: “This is not just an issue of inflation or economic challenges, it is deliberate manipulation.”
Bello stated that such practices violated Section 17 of the Federal Competition and Consumer Protection Act. Which prohibits anti-competitive and exploitative behavior in the marketplace.
He noted that the FCCPC has the authority to impose fines up to N10 million and jail terms up to three years for offenders. He, however, stated that the Commission is disposed to resolving issues through dialogue and collaboration
The Nation reports that a key initiative introduced during the town hall meeting was the enhancement of the FCCPC’s consumer engagement platform. This allows consumers to lodge complaints about unfair market practices in real-time.
The FCCPC boss explained that the platform provided consumers with a direct channel to report issues and seek redress.
“We want to hear directly from consumers and address their grievances swiftly. This new portal will be an essential tool in ensuring that.
“The platform is designed to streamline the complaint process and ensure faster resolutions. Thereby making it easier for consumers to challenge exploitative practices,” he said.
FCCPC Executive Commissioner Dr. Abdullahi Adamu also elaborated on the Commission’s efforts to combating price gauging.
Adamu condemned the practice of raising prices multiple times in a single day, particularly in markets with high-demand goods like food and fuel.
He, therefore, called on market associations to halt collective price manipulation. Warning that these actions violate the Nigerian competition laws.
“We have observed instances where prices are raised three to four times in one day. This is unacceptable, and it undermines consumer trust.
“Market associations are free to exist. But when they set prices collectively, it becomes a violation. We must ensure that the market remains competitive and fair,” he said.
The Iyaloja-General of Nigeria, Chief Folashade Tinubu-Ojo, called for empathy and fairness in the pricing practices of traders.
Tinibu-Ojo maintained that the burden of high prices should not be unfairly transferred to consumers. She noted that many of the consumers are already facing financial difficulties.
“Our African cultural spirit centers around empathy for the weak. Let’s ensure our pricing reflects that, rather than striving for abnormal profits,” she said.
The Iyaloja-General acknowledged that traders are facing many challenges. These they said include multiple taxes and cost of transportation caused by police checkpoints along major supply routes.
She said traders and consumers should share the burden and find a middle ground that prevents undue exploitation.
Tinubu-Ojo urged government to streamline its taxation policies. She suggested that taxes paid in one State should remain valid across the country. This, she said is to prevent multiple levies from being imposed on goods.
In his remark, the General Manager of the Lagos State Consumer Protection Agency (LACOPA), Afolabi Solabo, condemned inordinate profit making.
He cited examples of petrol stations charging consumers an additional N50 after they had already paid for fuel.
Solabo said: “This exploitation must stop. Businesses should not take advantage of the difficult situation to further burden consumers.”
He also called for a collective action in bid to resolve the pricing crisis.
source: The Nation
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