By Abubakar Yunusa
The House of Representatives has launched a probe into alleged exploitative pricing practices by foreign multinationals in Nigeria.
They have tasked the Federal Competition and Consumer Protection Commission (FCCPC) with halting these unfair practices immediately.
This decision came after a motion by Babajimi Benson (APC, Lagos) during Tuesday’s plenary session.
Benson highlighted that international business ethics demand fair and competitive trade practices, which some companies are neglecting.
He cited Air Peace Airline’s experience at Gatwick Airport and recent allegations by Dangote Oil Refinery against international oil companies.
“Before Air Peace Airlines’ Lagos-London route started with tickets under N1 million, airlines like British Airways charged up to N4 million. Once Air Peace entered the market, other airlines drastically cut their prices,” Benson explained.
The House has directed the Committees on Aviation, Commerce, Petroleum, and Foreign Affairs to investigate these predatory pricing practices. They are to report their findings within four weeks for further legislative action. Additionally, the Committee on Legislative Compliance is to ensure these mandates are followed.
This probe arises amidst a trend of multinational companies exiting Nigeria due to naira devaluation and rising operational costs. In 2023 alone, notable exits included GlaxoSmithKline (GSK), Procter & Gamble (P&G), and Unilever, all citing financial and operational challenges.
The House has multiple committees examining the reasons behind these departures, aiming to address and mitigate the impacts on Nigeria’s economy.