The federal government has threatened to take stringent regulatory measures against traders who unfairly inflate prices of goods and commodities.
Through the Federal Competition and Consumer Protection Commission (FCCPC), the government expressed worry over the sustained rise in prices of goods and commodities despite the recent appreciation of the naira against the dollar.
The commission’s chief executive officer, Adamu Abdullahi, gave the warning in a statement on Wednesday, April 17.
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While the naira has been appreciating against the dollar in recent weeks, several Nigerians have taken to social and conventional media to express their grievances about the ongoing rise in commodity prices.
Some have alleged that traders are swift to hike prices whenever the naira depreciates but are reluctant to reduce prices when the dollar falls, even after several days.
Reacting to the development, the FCCPC stated that the continuous increase in the price of commodities was unacceptable, adding that it was committed to protecting consumers from exploitation
“The FCCPC understands the significant financial strain these rising prices are placing on Nigerian households. As a result, the commission is taking proactive steps to address this issue.
“While the FCCPC cannot directly regulate prices, the commission will utilise its existing legal framework to enforce fair competition and consumer protection provisions.
“This includes monitoring and investigating unusual price hikes, addressing complaints filed by consumers, and taking action against any businesses found to be engaging in anti-competitive practices such as price-fixing, price gouging or cartel formation.”
The FCCPC further stated that its operatives had been directed to intensify monitoring of both formal and informal markets, where businesses may take advantage of market conditions to inflate prices unfairly.
“The operatives will be working collaboratively with trade associations, farmer groups, and other stakeholders to identify and remove unnecessary barriers to entry in various sectors, combat price-fixing, and dismantle cartels. This will encourage increased competition, ultimately leading to lower prices for consumers,” the organisation added.
Usman Mustapha is a solution journalist with International Centre for Investigative Reporting. You can easily reach him via: [email protected]. He tweets @UsmanMustapha_M