Agencies Warn Businesses on Price Tags and Refunds

The Federal Competition and Consumer Protection Commission (FCCPC) and the Lagos State Consumer Protection Agency (LASCOPA) are taking steps to tackle unfair practices in markets. They are focusing on price tags, product labels, and businesses' responsibilities to accept returns and refunds when needed.

This new initiative was launched on Wednesday during a meeting with stakeholders in Ikeja, Lagos. The aim is to improve how businesses follow consumer protection laws by talking directly with them.

At the event, Tunji Bello, the Executive Vice Chairman of the FCCPC, emphasized that consumer trust is key for a healthy marketplace. Lagos is Nigeria’s commercial center, where millions of transactions happen every day in markets, malls, and online shops.

Mr Bello, who was represented by Olubumi Otti, the FCCPC’s South-west Coordinator, said these transactions support economic growth and create jobs. But they also depend on trust between businesses and consumers.

“Consumers must be confident that the price they see is the price they will pay,” he stated.

He continued, “They must be able to rely on the information provided about the products they buy. They must also know that where the law gives them the right to a refund, replacement, or repair, that right will be respected.”

Mr Bello noted that honest business practices encourage consumer spending, promote loyalty, and support fair competition. He said the meeting focused on three main issues affecting consumers and businesses: price tagging, minimum product labeling, and return and refund duties.

“These may seem like ordinary aspects of doing business, but they are important in building trust in the marketplace. They help consumers make informed choices, encourage fair competition, and create a fair ground for responsible businesses,” Mr Bello explained.

Engagement before enforcement

Mr Bello also mentioned that the commission’s goal is not just to remind businesses of their legal duties but to show them how compliance helps both consumers and businesses.

He believes that engagement is often more effective than confrontation. Businesses are more likely to comply when they clearly understand what is expected of them.

“We expect businesses to deal with us honestly and transparently,” he said.

However, he pointed out that the commission still receives complaints from consumers about avoidable issues in the marketplace.

He highlighted that showing prices is a basic fairness requirement. “A consumer should know what an item costs before deciding whether to buy it. No one should have to take a product to the checkout before learning its price. Neither should two customers be quoted different prices for the same product simply because a seller believes one can afford to pay more than the other.”

Partnership

Afolabi Sholebo, the General Manager of LASCOPA, also spoke at the event. He mentioned that the meeting showed a shared commitment to making the marketplace fair, clear, and trustworthy for consumers.

He noted that some businesses have faced penalties for not displaying prices, selling expired goods, poor product labeling, and refusing valid requests for returns or refunds.

Mr Sholebo stated that following rules on pricing, labeling, and consumer rights is a legal duty under the Federal Competition and Consumer Protection Act of 2018 and the Lagos State Consumer Protection Law.

This engagement comes as the FCCPC has stepped up consumer protection actions. Recently, the commission has been more active against businesses accused of unfair pricing, misleading trade practices, and breaking consumer rights.

The FCCPC has repeatedly urged businesses to follow the Federal Competition and Consumer Protection Act by displaying prices clearly, giving accurate product information, and respecting consumers' rights to remedies allowed by law.

The FCCPC believes that ensuring businesses follow consumer protection laws will boost transparency, encourage fair competition, and strengthen trust in Nigeria’s marketplace.