The Federal Competition and Consumer Protection Commission has dismissed claims that it plans to regulate prices in the Nigerian market.
It clarified that its recent directives are solely aimed at curbing exploitative practices and maintaining a competitive marketplace.
It disclosed this in a statement by its Director, Special Duties and Strategic Communication, Ondaje Ijagwu, on Tuesday.
The statement came in response to feedback from the Organised Private Sector and other stakeholders who expressed concerns over the commission’s recent directive to businesses to halt practices such as price gouging and price fixing.The commission stressed that its role is not to control prices but to ensure that the market operates fairly.
“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,” it said.
The commission emphasised that while external factors such as foreign exchange fluctuations and the removal of fuel subsidies have significantly impacted pricing, these do not justify unfair practices that exploit consumers.
“These factors certainly impact pricing, but they do not excuse or justify exploitative practices that are anti-consumer,” the statement added.
The FCCPC highlighted a recent example in the cement industry to illustrate the need for its 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 continues its oversight in the retail sector, the Commission remains committed to upholding the principles of fair competition and consumer protection, promising vigilant enforcement 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
