July 21, 2024

FCCPC Investigates Unfair Commodity Price Increases

 

 

The Federal Competition and Consumer Protection Commission (FCCPC) has declared that exploitative price increases on commodities are illegal in Nigeria. The Commission reiterated its commitment to safeguarding consumer rights and ensuring fair market practices, amidst recent price hikes in Bauchi State.

 

During a market survey at the Muda Lawal Market, FCCPC Vice Chairman Dr. Adamu Abdullahi highlighted findings that suggest wholesalers and retailers are involved in price gouging, hoarding, and other unfair practices. Abdullahi stated, “Our survey indicates that the food chain and distribution sector is engaged in conspiracy and other tactics that drive up costs and harm consumers.”

Represented by FCCPC North East Zone Coordinator Dauda Waja Ahmadu, Abdullahi emphasized the illegal nature of these practices under the Federal Competition and Consumer Protection Act (FCCPA). He noted that the Commission is actively engaging market associations, traders, and consumers to identify the factors influencing commodity prices and to address uncompetitive practices.

 

“The FCCPC’s surveillance efforts indicate that participants in the food sector are manipulating prices and restricting competition, leading to indiscriminate price inflation,” Abdullahi explained. He added that these practices contribute significantly to the rising cost of living.

 

To combat these issues, the FCCPC is conducting fact-finding interactions with traders’ associations and market stakeholders. The Commission aims to gather firsthand information from market executives, unions, sellers, and consumers. Abdullahi remarked, “Our priority is to unlock markets and tackle key consumer protection and competition issues affecting commodity prices.”

 

Following the market survey, the FCCPC plans to compile a detailed report of its findings and make policy recommendations to the Federal Government. This initiative aims to foster competitive markets and ensure fair pricing for consumers in line with Section 17(b) of the FCCPA.

 

Meanwhile, traders at the Muda Lawal Market attribute the recent price hikes to increased wholesale costs from their suppliers. They argue that these higher costs are passed down to consumers, exacerbating the situation.

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