The Federal Competition and Consumers Protection Commission (FCCPC) has said it stands firm in its commitment to enforcing the Federal Competition and Consumer Protection Act (FCCPA) 2018 in hike of food prices in the markets saying any claims to the contrary are baseless and unfounded.
In a reaction to the Organised Private Sector (OPS) advice for it to address economic fundamentals, that led to commodities price increase rather than resorting to forcing down the prices of commodities, the Commission said price gouging is an unfair practice that takes advantage of crises or economic hardships to inflate prices arbitrarily.
FCCPC recently granted a one-month moratorium before enforcement begins, providing businesses with the necessary time to adjust their practices and ensure full compliance with laws aimed at protecting consumers and fostering fair competition.
The Director, Special Duties (& Strategic Communication) Ondaje Ijagwu in a press statement Tuesday in Abuja, explained that price fixing occurs when competitors or market associations, without their own products, collude to set prices.
“At the FCCPC, our mandate is to safeguard consumers from unfair and deceptive practices and to ensure robust competition across all sectors. We categorically assert that prices in a competitive marketplace are determined solely by the forces of supply and demand.
“Price control is entirely outside the scope of our responsibilities. We have never considered, nor will we ever consider, intervening in the market to regulate prices.
“Our recent directives are not about controlling prices but are focused on curbing exploitative practices and anti-competitive behaviours that distort the marketplace and harm consumers.
“We recognise the complexities of the current economic environment, including challenges such as foreign exchange fluctuations and fuel subsidy removal.
“Discoveries made during our market surveillance and a recent disclosure by Abdul Samad Rabiu, Chairman of BUA Cement, underscores the critical need for our oversight. Mr. Rabiu revealed that despite BUA Cement’s effort to sell cement at a fair price of N3,500 per bag, their plan was undermined by dealers who inflated prices to as much as N7,000 to N8,000 per bag.
“This situation exemplifies the kind of exploitative conduct that the FCCPC is committed to addressing. Such practices make it difficult for ethical businesses to thrive.
“While promoting competition is essential for economic health, as evidenced in sectors like telecommunications, it is equally important to enforce laws against practices that undermine fair competition. WhatsAppEmailLinkedInTwitter
