The Federal Competition and Consumer Protection Commission (FCCPC) has given traders and other market stakeholders involved in exploitative price practices a one-month ultimatum to crash the prices of goods.

The newly appointed Executive Vice-Chairman of the FCCPC, Tunji Bello, said this at a one-day stakeholders engagement on exploitative pricing on Thursday in Abuja.

According to Mr Bello, the commission will begin enforcement after the moratorium. He said that the meeting addressed the growing trend of unreasonable consumer goods and services pricing and the unwholesome practice of market associations.

Mr Bello described the commission’s finding that a fruit blender known as Ninja was being sold at a popular supermarket in Texas for $89, but the same product was displayed for N944,999 in a supermarket in Victoria Island, Lagos.

Mr Bello wondered about the basis for the arbitrary hike in the price of the blender compared to Texas. He said unwholesome practices, including price fixing, were threatening the stability of the economy.

”Under Section 155, violators, whether individuals or corporate entities, face severe penalties, including substantial fines and imprisonment if found guilty by the court.

”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.

”It is in this spirit that we are giving a moratorium of one month (September) before the commission will start firm enforcement,” he said.

Mr Bello said the government was aware of most of the problems raised by the market stakeholders.

”We have heard and you have genuine issues and government has the responsibility to address the problems but generally, let us talk to ourselves too. There are also gang-ups to exploit consumers by traders,” he said.

Some of the market stakeholders who spoke at the engagement said that the high cost of transportation, insecurity, and multiple taxation, among other factors, were reasons for the continuous increase in prices of goods and services.

Ifeanyi Okonkwo, the chairman of the National Association of Nigerian Traders, FCT Chapter, said that charges on imported goods at the Ports also contributed to the price hike.

Mr Okonkwo appealed to the commission to set up a task force and involve the association in its enforcement.

Emmanuel Odugwu from the Kugbo Spare Parts market said the initial cost of transporting a trailer load of tyres from Lagos to Abuja was N450,000, but now, it costs over N1 million.

Kemi Ashiri, the liaison manager at Flour Mills, said regulators’ fines needed harmonisation for businesses to thrive.

Ikenna Ubaka, who spoke on behalf of supermarket owners, alleged that banks’ interest rates to them were over 30 per cent, rent increments, and hikes in prices by distribution/ supply chains were reasons for the high cost of goods.

Mr Ubaka also alleged that electricity distribution companies were charging supermarkets exorbitantly.

Solomon Ukeme, who represented the Master Bakers Association, said that the rapid increase in major ingredients like flour, sugar, and butter contributed to the high cost of confectionery.

He said a bag of flour formally sold for N34,000 was now being sold for N74,000. Multiple taxes were also a major cause of the high cost of bread.

(NAN)