The Federal Competition and Consumer Protection Commission (FCCPC) has announced its intention to investigate market leaders across Nigeria over the issue of exploitative food prices. This decision was disclosed by the Executive Vice Chairman/Chief Executive Officer of the FCCPC in a statement released on Monday, signaling the commission’s commitment to addressing concerns about unfair pricing practices in the food market.
According to the FCCPC, the probe is grounded in the authority granted by its establishment Act 2028, specifically Sections 17(l) (s), 116 (2), 124, 125, 138, and 155. These sections empower the commission to regulate market practices, protect consumers from unfair trade practices, and ensure that prices are not manipulated to the detriment of the public. The FCCPC’s move is a response to growing concerns about the rising cost of food items in the country and the impact on consumers, particularly those in vulnerable communities.
The statement read, ‘This is to checkmate exploitative pricing of consumer goods in Nigeria.”
“While it is recognized that the exchange rate has impacted the value of the Naira, it is, however, observed that prices charged are, in most cases, disproportionate for imported products and excessive for locally produced ones.”
“This unfair practice is prevalent in the retail segment of the distribution chain where some market associations are engaged in price fixing at the expense of consumers.”
“Working with the market leaders, the Commission believes an understanding can be reached on reasonable pricing of products to eschew undue profiteering at the expense of consumers at a time of economic challenges.”
“Such interaction will be sustained by the Commission to foster a better market culture that makes allowance for the trader’s margin without leaving buyers exploited”, he said.
Recall that Nigeria’s food inflation increased to 40.87 percent in June 2024, according to the National Bureau of Statistics.
This is as July’s report on consumer price index and inflation is expected to be released in days.
