The Federal Competition and Consumer Protection Commission (FCCPC) has refuted allegations regarding its intention to regulate the prices of food products and other goods within the Nigerian market.
LeadNaija understands that the clarification was prompted by concerns raised by the Organised Private Sector and other stakeholders regarding the commission’s recent instruction to businesses to cease practices such as price gouging and price fixing.
In a statement issued on Tuesday by its Director of Special Duties and Strategic Communication, Ondaje Ijagwu, FCCPC reiterated that its mandate does not involve price control but rather ensures fair market operations.
It emphasized that its recent directives are exclusively focused on preventing exploitative behaviours and fostering a competitive environment.
“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. Any claims to the contrary are baseless, Full Details” it said.
The Commission underscored that, although external elements like fluctuations in foreign exchange rates and the elimination of fuel subsidies have notably influenced pricing dynamics, these do not serve as valid justifications for exploitative behaviors that detrimentally affect consumers.
Indeed, it noted that these elements undoubtedly play a role in shaping pricing strategies. Yet, the statement further elaborated that they do not absolve or legitimize exploitative practices that are detrimental to consumer interests.
Furthermore, the FCCPC brought to attention a pertinent case within the cement sector to underscore the necessity of regulatory intervention.
“Abdul Samad Rabiu, Chairman of BUA Cement, disclosed that despite efforts by his company to sell cement at a fair price of N3,500 per bag, dealers 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,” the commission noted.
The FCCPC reassured the business community that its actions are not intended to suppress private enterprise but to protect consumers from harmful practices.
“The FCCPC does not seek to suppress private enterprise; our role is to ensure that the market operates on principles of fairness, transparency, and accountability,” the statement read.
To allow businesses time to adjust their practices, the FCCPC has granted a one-month moratorium before enforcement begins.
“We have 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,” it stated.
As the FCCPC persists in its supervision within the retail industry, the Commission is steadfast in its dedication to maintaining the tenets of equitable competition and safeguarding consumer interests.
It pledges to rigorously enforce the provisions of the Federal Competition and Consumer Protection Act 2018.
“We will continue to monitor the marketplace and take action against any business practices that violate the law.
“Consumers and businesses alike can trust that we will remain vigilant in upholding the principles of fair competition and consumer protection,” it added.
