The Federal Competition and Consumer Protection Commission (FCCPC) has identified hoarders of grains as major contributors to Nigeria’s food inflation. At a town hall meeting in Kano, Executive Vice Chairman/CEO Tunji Bello stated that investigators found unscrupulous produce merchants mop up newly harvested grains, creating artificial scarcity and endangering national food security.
“Without caring for the consequences of their action on fellow countrymen and women, some of these unscrupulous actors go as far as taking some of the food items they had mopped up from the farmers or the markets and smuggling them across the borders to sell at premium, thereby endangering our national food security,” Bello said.
He emphasized the need for collective action to achieve reasonable pricing, especially amidst economic reforms.
“Don’t get us wrong; we are by no means saying everyone is guilty here. We only have few bad eggs involved in such unethical practices. It is therefore our collective responsibility to work together to achieve reasonable pricing of goods and services, especially at a time the country is undergoing bold economic reforms which may bring temporary discomfort today but will definitely usher a better economy for us tomorrow.”
Other unethical practices include:
1. Price fixing
2. Artificial barriers created by market associations
The FCCPC chose dialogue over penalties, seeking cooperation from Kano stakeholders to curb these practices.
“We have a very listening President in the person of his Excellency, Asiwaju Bola Ahmed Tinubu. He feels for the people and shares their pains and is ever willing to go the extra miles to take measures to cushion the effects of the hardship the ongoing economic reforms may bring.”
President Tinubu has responded to stakeholders’ concerns with new policies:
1. Zero Value Added Tax (VAT) on pharmaceutical products and medical devices
2. Removed taxes on micro, small, medium enterprises
3. Removed taxes on public transportation
Bello urged stakeholders to share government concessions with consumers.
“For instance, when the government assists the operators of public transportation with easy credits to convert their vehicles from petrol to relatively far cheaper CNG, we don’t expect them to charge the same fares as those who buy petrol.”
The FCCPC’s renewed advocacy aims to curb anti-consumer practices nationwide, following interactive sessions in Abuja and Lagos.
