The Federal Competition and Consumer Protection Commission (FCCPC) clarified on Tuesday that it has no intention of regulating prices in the Nigerian market.
In a statement by its spokesperson, Ondaje Ijagwu, the FCCPC explained that its recent directives are focused solely on preventing exploitative practices and ensuring a fair, competitive marketplace.
This clarification came after concerns were raised by the Organised Private Sector and other stakeholders regarding the commission’s recent directive to businesses to stop practices like price gouging and price fixing.
Ijagwu emphasized that the FCCPC’s role is not to control prices but to ensure that the market operates fairly.
“We want to make it clear that prices in a competitive market are determined exclusively by the forces of supply and demand. Price control is not within our mandate,” the statement read.
“We have never considered, and will never consider, intervening in the market to regulate prices. Any suggestions otherwise are unfounded.”
The FCCPC acknowledged that while external factors like foreign exchange fluctuations and the removal of fuel subsidies have significantly influenced prices, these do not justify unfair practices that exploit consumers.
The commission cited a recent situation in the cement industry as an example of why its intervention is necessary.
“While these factors do affect pricing, they do not excuse or justify exploitative practices that harm consumers.
“Abdul Samad Rabiu, Chairman of BUA Cement, revealed that despite his company’s efforts to sell cement at a reasonable price of N3,500 per bag, dealers inflated prices to as high as N7,000 to N8,000 per bag.
“This is the type of exploitative behavior that the FCCPC is committed to addressing,” the statement added.
The FCCPC reassured the business community that its actions are not intended to stifle private enterprise but to protect consumers from harmful practices.