The Federal Competition and Consumer Protection Commission (FCCPC) on Thursday gave traders and other business owners one month to reduce prices of commodities.
The Executive Vice-Chairman of FCCPC, Tunji Bello, gave the directive at a stakeholders’ meeting on explorative pricing in Abuja.
He described as unfair business practices the arbitrary increase in the prices of item.
The FCCPC boss warned traders to desist from practices that harm consumers.
He stressed that the commission was empowered by law to impose sanctions for misconduct by individuals and entities.
Nigerian have been groaning under the high costs of commodities, especially food items.
The growing prices of food items and general cost of living were behind the recent protests in many parts of the country.
Bello said: “We have observed, for instance, that the margin in the prices of imported goods is very disproportionate in many cases and, in the case of locally produced goods, excessively inflated.
“This is an untenable situation, particularly in the retail segment, where we have identified patterns of price fixing perpetrated by some market associations, price gouging, and other anti-consumer practices.
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“From our findings, the penchant to hike prices arbitrarily is also common among sellers of food items and transport operators.
“When the foodstuff sellers were engaged, their common response was that the cost of transportation had increased. But how justifiable is it for the tomato seller to double the price of a basket of tomatoes simply because they paid a higher transport fare?
“Whereas the price of the same basket of tomatoes was far cheaper at another market within the same jurisdiction surveyed by our field officers. Now, the question: did the seller who sold at a lower price not also pay the transport fare?
“In view of the current situation in Nigeria, let me, however, be very unequivocal. Price gouging and price fixing are not only unethical, but patently illegal under the FCCPA,” he said.
“Section 17 of the Act empowers the Commission to eliminate anti-competitive practices, misleading, unfair, deceptive, or unconscionable marketing, trading, and business practices.
“As such, the FCCPC has the will and the capacity to invoke the full weight of the law against those found culpable of exploiting consumers for undue profit.
“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.”
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