FCCPC Closes 10 shops over rebagging of local rice as foreign brands in Abuja

FCCPC Close 10 shops over rebagging of local rice as foreign brands in Abuja
FCCPC Raids Utako Market Over Unfair Pricing and Deceptive Rice Packaging

ABUJA — The Federal Competition and Consumer Protection Commission (FCCPC) conducted a raid at the Utako Market in Abuja on Tuesday, targeting alleged unfair pricing and misleading packaging practices related to rice sales. The operation, led by Mrs. Boladale Adeyinka, the FCCPC‘s Director of Surveillance and Investigations, resulted in the sealing of at least ten shops.

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The commission identified that the affected shops were part of a cartel involved in repackaging locally sourced rice and marketing it as foreign brands. During the inspection, particular attention was directed towards the foodstuff section of the market, where it was discovered that Royal Stallion Rice, a foreign brand that has not been produced in Nigeria for over a decade, was still being offered as an imported product.

Adeyinka addressed reporters at the scene, stating that the raid was initiated following complaints from both brand owners and consumers regarding the traders’ activities. “We have received notifications from brand owners indicating that their products are no longer available in the Nigerian market. For example, the Royal Stallion rice brand exited Nigeria more than ten years ago,” she explained.

She further noted that many Nigerian consumers continue to favor imported rice, despite its scarcity, which opens the door for dishonest traders to manipulate the market. “Due to the high demand for foreign rice, some market cartels have taken to rebagging local rice and selling it as imported,” she stated, underscoring that such practices are not only exploitative but also violate consumer rights and compromise economic integrity.

Adeyinka reaffirmed the FCCPC’s dedication to safeguarding consumers by promoting fair pricing practices and maintaining the integrity of products sold in the market. She issued a stern warning that this raid marks only the beginning of a broader enforcement initiative aimed at curbing such deceptive practices. “This enforcement will be ongoing, and those found responsible will face administrative penalties and fines intended to deter others,” she concluded.


Copyright 2024 REPORT AFRIQUE (RA). Permission to use portions of this article is granted provided appropriate credits are given to www.reportafrique.com and other relevant sources. This Article is Fact-Checked. See Policy.
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