Federal Competition and Consumer Protection Commission (FCCPC) has accused traders of forming cartels to excessively inflate the prices of locally made goods.
Gatekeepers News reports that Tunji Bello, executive vice-chairman and CEO of FCCPC, made the statement while addressing market association leaders, transport operators, and service providers at a town hall meeting in Lagos.
Bello revealed that the commission had conducted a nationwide market survey, which uncovered disturbing patterns of price fixing, price gouging, and other anti-consumer practices.
“We identified patterns of price fixing perpetrated by some market associations, price gouging, and other anti-consumer practices,” he said.
The FCCPC boss noted that the margin in the prices of imported goods was disproportionate, while locally produced goods were excessively inflated. He also discovered that some traders formed cartels to create artificial scarcity, leading to high prices.
“Without joining them, they won’t allow anyone to sell goods in the market or provide services,” Bello said, describing the practices as “patently illegal” under the FCCP law.
Bello warned that sanctions, including a fine of up to N10 million and a jail term, would be imposed on anyone found guilty of price gouging and price fixing. However, he stated that the commission was adopting a dialogue approach with stakeholders to collaborate on checking unfair pricing in the market.
The FCCPC is also upgrading its consumer portal to allow swift responses to issues.
“The commission is upgrading its consumer engagement portal to make it more inclusive and interactive and in real-time,” Bello said.
