PENNY WISE POUND FOOLISH

By-Adejide

08 April 2024

Lagos

“Penny Wise Pound Foolish”

In the middle of fluctuating economy, middlemen (retailers and wholesalers) play a significant role in price stability of consumable commodities. Consumers visit malls and local markets to purchase groceries such as grains, tubers, fruits, snacks, drinks on a dailies for their consumption. So, they are usually at the receiving end in such economic situation.

The middlemen are known to be responsible for the rising of food prices in Nigeria. They also act as capitalist through activities such as hoarding, inflating of prices and reduction in measurement value with selfish impression of making multiple profits. These activities violate consumer protection rights. Consumers need to enjoy value for their money, be protected against hazardous substandard products.

Similarly, investors/ entrepreneurs, artisans and other service providers inflate the price of goods and services respectively. Consequently, a merchant make gains solely and purchases other needed commodities in inflated price. He also pays exorbitant charges for services provided at need.

This is a case of “penny wise, pound foolish”. A research revealed a bag of sachet water is sold by producers at N400.  Meanwhile, retailers sells N50/1 sachet. This amount to N600 profit on a bag, he makes a whooping N600 profit just on a bag but he’ll pay the heavy price when paying for his needs else-where.

In all this, the right of innocent consumers needs to be protected by Consumer Protection Agencies to ensure redress of consumer complaints, advise the government on consumer protection policies, enforce price control policy and charge perpetrators to court.

End

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