Reduce Food Prices in One Month, FG Tell Traders

The Federal Competition and Consumer Protection Commission (FCCPC) has given traders and market stakeholders a one-month deadline to reduce the prices of goods, aiming to curb exploitative pricing practices.

Mr Tunji Bello, the newly appointed Executive Vice Chairman of the FCCPC, announced this directive during a stakeholders’ engagement session on exploitative pricing held in Abuja on Thursday.

Bello emphasized that after the one-month grace period, the commission would commence strict enforcement actions. He stated that the meeting was convened to tackle the rising trend of unreasonable pricing and unethical practices by market associations.

Bello highlighted a troubling case: a fruit blender, the Ninja, was priced at $89 (approximately N140,000) in a Texas supermarket but was listed at N944,999 in a Victoria Island, Lagos store.

He questioned the rationale behind such a significant price difference.

“This kind of arbitrary price increase threatens the stability of our economy,” Bello remarked.

“Under Section 155, those found guilty of such practices face severe penalties, including hefty fines and imprisonment. However, our current approach is not punitive.

We urge all stakeholders to act with patriotism and cooperation.”

He announced a one-month moratorium for price reductions before the FCCPC initiates enforcement measures.

Bello acknowledged the legitimate concerns raised by market stakeholders and assured that the government was aware of these issues.

During the engagement, several stakeholders cited factors contributing to high prices, including transportation costs, insecurity, and multiple taxation.

Ifeanyi Okonkwo, Chairman of the National Association of Nigerian Traders, FCT Chapter, pointed out that high import charges at ports were a significant factor driving up prices.

He requested the FCCPC to establish a task force and include the association in enforcement efforts.

Emmanuel Odugwu from Kugbo Spare Parts market revealed that transporting a trailer load of tyres from Lagos to Abuja has risen from N450,000 to over N1,000,000.

Ms. Kemi Ashiri, Liaison Manager at Flour Mills, called for the harmonization of regulatory fines to support business sustainability.

Ikenna Ubaka, representing supermarket owners, cited high bank interest rates, rent increases, and escalating distribution costs as contributors to the high prices.

He also accused electricity distribution companies of imposing excessive charges on supermarkets.

Solomon Ukeme from the Master Bakers Association highlighted the sharp rise in ingredient costs, noting that a bag of flour has surged from N34,000 to N74,000.

He attributed multiple taxation as a major factor in the soaring bread prices.

The engagement saw participation from various market associations, all discussing the challenges and solutions to stabilize prices in the country.