The Federal Competition and Consumer Protection Commission (FCCPC) on Friday launched investigations into the exploitative hikes in the prices of foodstuffs in OSUN state, with a view to bringing the high cost of foodstuffs and other consumption items in the state markets to a bearable level for the consumers.
The team of the FCCPC, which stormed the state, commenced with their findings at the two popular markets of Olufi and Ifon-Orolu trading places in Ayedaade and Orolu Local Government areas of Osun State, where they claimed, after their surveillance, that there had been a purported kind of conspiracy in the market, price gouging carried out by the market associations and unions to escalate food prices.
Meanwhile, market associations attributed the hike in food prices to the removal of fuel subsidy by President Bola Ahmed Tinubu, saying the increment in the prices of petroleum products caused the jerking up of prices or commodities in the markets
They further accused customs officers of collecting bribes on them before they could get items to the doors of consumers, affirming that “it is very difficult to get rice now from Cotonou because of customs officers, who in the last three weeks have been collecting fifteen million, six hundred thousand nairas for bribes on eight buses of rice at Saki before allowing them to transport it from there.”
“Before, we used to transport one bag of goods from the North at the rate of N2500, but now it is N6500. Also, goods are expensive now; for instance, our local rice is N1200 per congo, but it is now N2200 from North last week.
However, while speaking with newsmen after their survey, the Zonal Coordinator for South West Zone, Janet Odo, remarked that, “a survey carried out in marketplaces showed that the food chain and distribution sector, including wholesalers and retailers, are allegedly engaging in conspiracy, price gouging, hoarding, and other unfair tactics.”
According to her, their mission and aims are to interact directly with distributors, wholesalers, and retailers on the causes of food price hikes in Nigeria.
She stated that conspiracy by market associations and unions may be contributing to the price surge, adding that the commission will provide a detailed report to the federal government, aiming to inform and shape policies related to competition and consumer protection.
According to her, “We are here in Gbongan market boundary market between Oyo and Osun state. FCCPC has been engaging in a fact-finding mission to understand why there is a high cost of food commodities in the market.
“We are in the Gbongan market to carry out our fact-finding mission to interact directly with those in the food industry, especially distributors, wholesalers, and retailers to gather our facts as to why there is a hike in food commodities at this particular time, which is shocking on consumers.
“The whole essence is to ensure that the consumer protection aspect of our mandate is being executed to ensure that consumers get fair pricing for food commodities.
“We have been able to speak with some people and gather our facts, carry out the survey, and from this survey we collate our findings and pass it on.”
“This is a survey that is going on across the country; we collate our facts and send them down to serve as points of advice the federal government.
“Section 17b of our mandate says we should gather facts, review them, and, from the facts, advise the government on the policies that have to do with competition and consumer protection.
“From our surveillance in the market, there has been a purported kind of conspiracy in the market, price indulging carried out by associations and unions in the market, which has been responsible for the escalation in food prices.”
“Today, the fact-finding mission is to help us analyse this situation ourselves, That is why we interacted with the consumers, sellers, and those in the distributive chain of food to find out what is the main cause of the high-cost goods commodities in the market.
“After our findings and collation of data, we will come up with a concrete analysis that this is the cause of food hikes. ”
“As for what we gathered from market executives, which are Iyaloja and Babaloja, their assertions are that, as a result of inflation being experienced presently, it has affected the prices of foodstuffs.
While answering questions on the cause of the food hike in Nigeria, the Iyaloja of Olufi Market, Gbongon, Temilade Adewale, said that the removal of fuel subsidies caused the hike in food prices in Nigerian markets.
She lamented that transporting a single bag of goods from the North, which previously cost N2,500, now costs N6,000, adding that the sharp increase is directly tied to the higher fuel prices following the subsidy removal.
She also blamed customs offices for collecting bribes on rice before they could have access to their goods.
According to her, “The removal of fuel subsidy by President Bola Ahmed Tinubu caused the hike in food prices because, when fuel is already expensive, people also added to the price of their goods.
“Before, we used to transport one bag of goods from the North at the rate of N2500, but now it is $6500. Also, also goods are expensive now; for instance, our local rice is N1200 per congo but it is now N2200 from North last week.
“It is very difficult to get rice now from Cotonou because of customs officers; in the last three weeks, they collected fifteen million, six hundred thousand nairas for bribe on eight buses of rice at Saki,” she concluded.
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