The Executive Vice Chairman and Chief Executive Officer of the Federal Competition and Consumer Protection Commission (FCCPC), Adamu Abdullah, has issued a stern warning against the practice of price fixing by associations, labelling it as illegal, News About Nigeria reports.
Speaking on the matter in an exclusive interview with DailyPost, Abdullah said, “The practice is against the law. You don’t form an association and fix prices; that is illegal. Unfortunately, this has become a norm in this country.”
He cited examples, including the Barbers Association of Nigeria, which set standard prices for barbing services, which he condemned as unlawful.
Abdullah explained that price variations should reflect different operational costs.
“If you go to a barbershop, for instance, you will discover something like the Barbers Association of Nigeria, and these persons fix prices for barbing, and it is against the law. This is because people should have different reasons for different prices.
“For instance, if you are operating a barbing salon in Maitama or Asokoro, which are in Band A, you will pay more for electricity. But if your salon is in Karu, it should not be the same price because you don’t pay the same Band,” he said.
He added that differences in rent between high-end areas like Asokoro and more affordable locations like Karu should result in different pricing structures.
To address this issue, Abdullah revealed that the FCCPC is taking steps to dismantle such associations.
“We are now working towards disbanding these associations. For instance, we called the Masaka market management recently, and they came here along with the chairman of the local government, and we had a very educational interaction,” he noted.
He mentioned that many of these groups were unaware that their actions were illegal until the FCCPC educated them about the relevant laws.
Regarding public awareness, Abdullah acknowledged the general lack of knowledge about these laws among Nigerians.
To combat this, the FCCPC plans to leverage its offices in all local government areas across the country.
“We need more staff, but even a youth corps member with a laptop can make a significant impact. They can provide price information and handle complaints, feeding this data directly into our central complaint portal,” he said.
