The Federal Competition and Consumer Protection Commission (FCCPC) has granted a one-month moratorium for traders and other market stakeholders involved in exploitative pricing to reduce the prices of goods,Daily Trust reports.
Mr. Tunji Bello, the newly appointed Executive Vice Chairman of the FCCPC, announced this during a one-day stakeholders’ engagement on exploitative pricing held on Thursday in Abuja.
Bello stated that after the moratorium period, the Commission will commence enforcement actions.
The purpose of the meeting was to address the increasing trend of unreasonable pricing of consumer goods and services, as well as the unethical practices of market associations.
Bello highlighted a specific example found by the Commission: a Ninja fruit blender that was being sold at a popular supermarket in Texas for $89 (about N140,000) was priced at N944,999 in a supermarket in Victoria Island, Lagos.
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He questioned the justification for such a drastic price difference between the U.S. and Nigeria.
Bello expressed concern that these unethical practices, including price fixing, pose a threat to the stability of the economy.
“Under Section 155, violators—whether individuals or corporate entities—face severe penalties, including substantial fines and imprisonment if found guilty by the court. This is intended to deter all parties involved in such illicit activities. However, our approach today is not punitive. I, therefore, call on all stakeholders to embrace the spirit of patriotism and cooperation. It is in this spirit that we are providing a one-month moratorium before the Commission begins strict enforcement,” Bello said.
He acknowledged that the government is aware of the challenges raised by market stakeholders.
“We’ve listened to your genuine concerns, and the government has a responsibility to address these issues. But, generally, we must also acknowledge that there are organized efforts by some traders to exploit consumers,” he added.
Some market stakeholders who spoke during the engagement cited factors such as high transportation costs, insecurity, and multiple taxes as reasons for the continuous increase in prices of goods and services.
Mr. Ifeanyi Okonkwo, Chairman of the National Association of Nigerian Traders, FCT Chapter, mentioned that charges on imported goods at the ports also contribute to price hikes. He urged the Commission to establish a task force and involve the association in its enforcement efforts.
Mr. Emmanuel Odugwu from Kugbo Spare Parts market shared that the transportation cost of a trailer load of tires from Lagos to Abuja, which was initially N450,000, has now exceeded one million naira.
Ms. Kemi Ashiri, the Liaison Manager at Flour Mills, suggested that regulatory fines should be harmonized to support business growth.
Ikenna Ubaka, speaking on behalf of supermarket owners, claimed that high interest rates from banks, rent increases, and price hikes by distribution and supply chains are driving up the cost of goods. He also alleged that electricity distribution companies are charging supermarkets exorbitant rates.
Mr. Solomon Ukeme, representing the Master Bakers Association, noted that the rapid increase in the cost of major ingredients like flour, sugar, and butter has significantly raised the cost of baked goods. He pointed out that a bag of flour that used to sell for N34,000 now costs N74,000. He also identified multiple taxes as a major cause of the high cost of bread.
The News Agency of Nigeria (NAN) reported that various market associations attended the engagement. (NAN)
