The Federal Competition and Consumer Protection Commission (FCCPC) conducted raids on three steel manufacturing companies in Ogun State due to the alleged production of substandard iron rods and other anti-competition practices.
According to the commission, the affected companies are African Foundries Limited in Ogijo, Monarch Steel Mill Limited in Sagamu, and Kam Steel Integrated Company, also in Sagamu.
Addressing journalists recently, the Acting Executive Vice Chairman of FCCPC, Dr. Adamu Abdullahi, stated that the commission’s visit was based on intelligence suggesting potential anti-competitive behaviour by these companies.
“Essentially, we received intelligence and surveillance reports that these companies are allegedly involved in anti-competitive behaviour. That is the reason we decided to visit these three companies,” Abdullahi explained.
The FCCPC chief further elaborated that some iron manufacturers produced 10mm iron rods but labelled and marketed them as 12mm.
“We are here to take samples of their products and review their records to determine if they are engaging in false, misleading, and deceptive practices,” he said.
According to Abdullahi, this malpractice is a significant contributor to building collapses in Nigeria.
“We are concerned about the safety of Nigerians, which is the essence of consumer protection. We need to ensure the safety of our population.
“We need to examine their processes to see if they are cutting corners. If they are, we will enforce the full extent of the law. That is why we are here,” he stated.
He also commented on the cooperation of the companies during the investigation, noting that all three firms were very cooperative.
“Their lawyers were involved, and our laws permit that,” he said.
However, Abdullahi emphasised that the FCCPC was still in the information-gathering stage and had not yet found any of the companies liable.
“We are still collecting information. We will return to our office and allow forensic experts to analyse the gathered materials. Their analysis will guide our findings,” he remarked.
