FCCPC Orders Nigerian Traders to Cut Prices by September 2024

The Federal Competition and Consumer Protection Commission (FCCPC) of Nigeria has given traders in the country a one-month deadline, until September 2024, to significantly reduce the cost of goods.

This announcement was made by FCCPC Vice Chairman Tunji Bello during a stakeholders' meeting in Abuja on Thursday, which focused on addressing exploitative pricing practices.

According to Bello, the Commission has identified numerous instances of traders in Nigeria setting unfair prices. He highlighted an example where a retailer in Victoria Island, Lagos, increased the price of a Ninja fruit blender by 500%, selling it for N944,999, compared to its original price of N140,000 in Texas, USA.

Bello warned traders that unethical practices such as price gouging and fixing threaten the stability of the economy. He stated that once the moratorium ends in September 2024, the FCCPC will begin strict enforcement of the regulations.

“Under Section 155, violators, whether individuals or corporate entities, face severe penalties, including substantial fines and imprisonment if found guilty by the court,” he explained. “This is intended to deter all parties involved in such illicit activities. However, our approach today is not punitive. I, therefore, call on all stakeholders to embrace the spirit of patriotism and cooperation.”

Bello emphasized that the Commission is granting a one-month moratorium to encourage compliance before enforcement begins.

During the meeting, traders attributed the increase in goods prices to various factors, including transportation expenses and importation charges. Ifeanyi Okonkwo, Chairman of the National Association of Nigerian Traders' FCT Chapter, mentioned that fees levied at ports on imported items contribute significantly to price hikes.

Okonkwo urged the Commission to form a task force and involve the traders' association in enforcing the regulations.

The directive comes as Nigerians continue to grapple with rising living costs, with headline and food inflation rates standing at 33.40% and 39.53%, respectively, in July.