The Federal Competition and Consumer Protection Commission has issued a one-month moratorium to traders and market stakeholders involved in exploitative pricing, urging them to reduce the prices of goods.
According to the News Agency of Nigeria, the announcement was made by the newly appointed Executive Vice Chairman of the FCCPC, Mr Tunji Bello, during a one-day stakeholder engagement on exploitative pricing held on Thursday in Abuja.
Bello emphasized that the commission would begin enforcement actions after the moratorium expires, highlighting the urgent need to address the growing trend of unreasonable pricing of consumer goods and services, as well as other unethical practices by market associations.
“Our findings show instances of exploitative pricing, such as a fruit blender branded ‘Ninja’ being sold for $89 (approximately N140,000) in a popular supermarket in Texas, USA, but displayed for N944,999 at a supermarket in Victoria Island, Lagos,” Bello stated.
“This kind of arbitrary price hike is unjustifiable and threatens the stability of the economy.”
He further warned that under Section 155 of the FCCPC regulations, violators—whether individuals or corporate entities—could face severe penalties, including substantial fines and imprisonment if found guilty by the court.
“This is meant to serve as a deterrent to those involved in such illicit activities. However, our approach today is not punitive,” Bello clarified.
“We are giving a one-month moratorium for all stakeholders to act in the spirit of patriotism and cooperation. Enforcement will commence after this period.”
Bello also acknowledged the concerns raised by market stakeholders during the engagement. “We have listened to your genuine issues, and the government is committed to addressing them.
However, there are also collusive practices among traders aimed at exploiting consumers, and this must stop,” he said.
During the engagement, several stakeholders cited various reasons for the continuous rise in prices. Ifeanyi Okonkwo, Chairman of the National Association of Nigerian Traders, FCT Chapter, pointed to high transportation costs, insecurity, and multiple taxation as major contributing factors.
“The charges on imported goods at the ports also lead to price hikes,” Okonkwo explained. He suggested that the FCCPC establish a task force to involve the association in enforcement activities.
Emmanuel Odugwu from the Kugbo Spare Parts market detailed the steep increase in transportation costs, noting, “The cost of transporting a trailer load of tyres from Lagos to Abuja has risen from N450,000 to over one million naira.”
Kemi Ashiri, Liaison Manager at Flour Mills, called for a harmonization of regulatory fines to ensure businesses can thrive.
Representing supermarket owners, Ikenna Ubaka highlighted the impact of high bank interest rates, rent increases, and supply chain price hikes on the cost of goods. “We are also being charged exorbitantly by electricity distribution companies,” Ubaka added.
Solomon Ukeme, from the Master Bakers Association, pointed to the rapid increase in the cost of key ingredients such as flour, sugar, and butter. “A bag of flour that used to sell for N34,000 is now N74,000. Multiple taxation is also a major reason for the high cost of bread,” Ukeme noted.
