Inflation: FCCPC blames ‘market cartels’ for high costs of food in Nigeria 

The Chief Executive Officer of the Commission, Mr. Tunji Bello, stated this in Lagos on Wednesday while addressing leaders of market associations, transport operators, and service providers at a town hall meeting hosted by the FCCPC.

While acknowledging that the exchange rate and the increase in petrol price make the old prices unsustainable, Bello frowned at disproportionate increases in the prices of food items which he said are often perpetrated by “cartels” to exploit consumers.

Bello said the meeting was necessitated by startling discoveries made by the commission during a survey conducted nationwide.

“We discovered that some traders form cartels in the markets and put barriers in the form of ridiculous membership fees intended to ensure price fixing in the market.  

“Without joining them, they won’t allow anyone to sell goods in the market or provide services. Such practices are against the law and constitute some of the offences the Commission is against,” said the FCCPC boss. 

On the economic outlook, Bello stated that the removal of taxes on imported food items, pharmaceutical products, and transportation was part of measures being taken by the Tinubu administration to cushion the effects of the reforms introduced to reposition the Nigerian economy.

“Such laudable measures by President Tinubu would however be in vain if the benefits are not passed down to the consumers,” he said. 

Also speaking at the event, the Iya Oloja General of Nigeria, Folasade Tinubu-Ojo, echoed these sentiments, urging traders to refrain from exploitative pricing practices. She called on the traders to support the government’s efforts by being considerate in their pricing.

The FCCPC recently faced some backlash from Nigerians as it gave a one-month moratorium to traders and other market stakeholders involved in exploitative pricing to reduce the prices of goods.

The Commission had said it would begin enforcement actions once the moratorium period ends. Many Nigerians, however, frowned at the directive, describing it as an attempt to control prices in the market when the government’s policies continue to fuel inflation.