The Federal Competition and Consumer Protection Commission (FCCPC), has launched a campaign to investigate the significant rise in food prices witnessed in various markets across Anambra State.
This move comes amidst growing concerns among consumers who have been grappling with increasingly inflated prices of food items.
The officials of FCCPC in Anambra State, led by the South-East Zonal Coordinator, Mr Jude Akolam, while on a fact finding visit to Ose Okwaodu, a popular food market in Onitsha North local government council of the state, noted that the campaign, which aims to determine the causes of the price surge and ensure fair market practices, seeks to alleviate the burden faced by consumers and promote a competitive market environment.
According to Akolam who disclosed that their engagement with the traders was facilitated by the federal government, “The findings will assist the Federal Government to plan for the people. Without these findings, it might be difficult to plan ahead. The constant hikes in prices of commodities, especially food stuffs is becoming worrisome, hence this move by the commission, as the FCCPC is known for its commitment to safeguarding consumer interests and ensuring value for money in the market.
“During the engagement, the Commission will gather insights from market executives, sellers, and consumers to identify challenges and propose solutions. We will also gather the importance of compiling a detailed report on every activity and provide actionable recommendations to the Federal Government.”
Potential causes
Numerous factors have been identified as potential causes behind the escalating food prices. Traders operating in the Ose Okwaodu market have blamed the prevailing insecurity in the region, citing it as a major hindrance to the transportation and distribution of goods.
This, they argue, has led to higher transportation costs, which are ultimately passed on to consumers. Moreover, the limited availability of adequate infrastructure, such as good road networks and reliable storage facilities, has further exacerbated the escalating prices.
“In addition to these challenges, middlemen have been accused of contributing to the soaring food prices. These intermediaries, situated between farmers and consumers, often dictate the market prices, exploiting the imbalance in supply and demand. By exerting influence over these prices, they effectively reduce the profit margins for farmers while increasing costs for consumers.
He also stated that the FCCPC’s campaign is expected to dig deeper into these claims of unfair practices and identify the specific actors responsible for manipulating prices as the commission is empowered to enforce regulatory guidelines and policies aimed at promoting an equitable and consumer-friendly market environment.
“To ensure a comprehensive investigation, the FCCPC is collaborating with relevant stakeholders, including market associations, farmers’ unions, and security agencies. The agency believes that engaging these key players will help identify practical solutions and foster a collaborative effort to stabilize food prices.” Akolam stated.
Akolam further added that with this investigation, the FCCPC hopes to curb exploitative practices and create a level playing field for all market participants.
Meanwhile, some of the traders at Ose Okwaodu market, blamed the insignificant rise in food prices in the country to insecurity and high cost of transportation.
The market Chairman, Chief Ikechukwu Umuanozie, represented by the market Secretary, Onyejikwe Cypril, said, “The Federal Government should adequately look into these issues for food items in the country to be affordable. Farmers are no longer going to farms because of insecurity and the dealers too are being robbed often by the criminals while on transit.
“For us to have reduced cost of food stuff, the farmers must be allowed to go to farm land and farm. How can someone go into farm and he is killed or kidnapped and you want others to go there? Many people are afraid of going to farm for their safety and many families are struggling to afford basic food items, resulting in compromised nutrition and financial strain. Apart from the farmers, traders get attacks on the roads and a lot of us are afraid of travelling out to buy goods.
“Before now, people used to get loan to farm, but today, even if the loans are given where can the person farm?”
He said that before now, “the cost of fueling vehicles were cheap but today it takes fortune to fuel vehicles and the transporters will charge higher and we have to add the cost to the goods.
“A litre of fuel is N850 today while a litre of gas is N1500. The lorry driver will put the cost in carrying our goods. Goods ordinarily, that cost N2 million to convey to Onitsha is now about N20 million. Invariably,when fuel get higher,goods will be higher”.
Responding, a grain seller, Celestine Udealo, said, “apart from insecurity and cost of transportation, climate change is a serious problem escalating food prices. Extortions at security checkpoints are another factor, before now, we paid N6,000 at any produce checkpoint, but today, we are paying N30,000 at a checkpoint. Before now, we get our goods from Borno, Taraba, Benue and Kebbi states, but today, we hardly get good stuff because of the insecurity and cost of transportation.
“Climate change is also causing problems because farm produce such as okro, potatoes planted by those around Anambra riverine areas could not survive because of climate change.”
On his part, a beans seller, Emmanuel Ndubisi, said that last year a bag of beans was N80,000, but today, it is about N230,000 to N260,000 depending on the type, while also disclosing that last year, a bag of groundnut was N90,000 but today it is sold at N185,000, and a bag of maize was N45,000 last year but today costs N100,000.
Anthony Mozo, a yam seller, also confirmed that insecurity and transportation as major reasons responsible for high cost of food stuff.
He also attributed the fuel subsidy as another major cause of rising cost of food prices in the country.
According to him, “the money we pay at produce check point has increased from less than N200,000 to over a million.”
He also disclosed that for a trailer to convey a trailer load yams from Benue state to Onitsha cost N25million against N2million last year, while Mrs Philomena Ikemaka, potatoes seller, described the high cost of food stuff as punishment to the poor masses.
According to her, “Before now, a bag of potatoes was N8,000 but today it is N15,000 to N16,000.” She also stated that even those bringing the food items to the market are no longer coming often.
“Before now, we normally get about five or six trucks and five vessels coming into the market every day and today, we hardly get one vehicle and one vessel in day.” She stressed.
The traders believe that tackling unfair market practices, such as insecurity, poor infrastructure, and the influence of middlemen, will lead to stabilized food prices and better access to affordable food for the people of Anambra State and Nigerians in general.
Olusola Akintonde
