The Federal Competition and Consumer Protection Commission (FCCPC) has firmly rejected claims suggesting it intends to regulate market prices in Nigeria. Instead, the commission clarified that its recent directives focus on preventing exploitative practices and ensuring a competitive marketplace.
In a statement issued by Ondaje Ijagwu, Director of Special Duties and Strategic Communication, the FCCPC addressed concerns raised by the Organised Private Sector and other stakeholders regarding its recent directives against price gouging and price fixing. The commission emphasized that its role does not include controlling prices but rather ensuring fair market practices.
“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,” the statement read.
The FCCPC acknowledged that external factors, such as foreign exchange fluctuations and the removal of fuel subsidies, influence pricing. However, it stressed that these factors do not justify exploitative practices that harm consumers.
An example cited was from the cement industry, where Abdul Samad Rabiu, Chairman of BUA Cement, reported that dealers were inflating prices of cement from the fair price of N3,500 per bag to between N7,000 and N8,000 per bag. This, the FCCPC noted, highlights the kind of exploitative conduct it aims to address.
The commission reassured businesses that its actions are designed to protect consumers without suppressing private enterprise. It has granted a one-month moratorium before enforcement begins, allowing businesses to adjust their practices and ensure compliance with consumer protection laws.
“We will continue to monitor the marketplace and take action against any business practices that violate the law,” the FCCPC assured, reaffirming its commitment to upholding fair competition and consumer protection principles.
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