Price gouging
THE FIJI Competition & Consumer Commission (FCCC) is looking into possible “price gouging” on freight charges and prices of goods in the maritime areas.
This was revealed by Minister for Trade Manoa Kamikamica during his three-day tour to Kadavu last week.
“Right now, FCCC is having a look at the price of goods in the marketplace. There is a suggestion that some price gouging is happening so if that is happening, we will shut it down because of course, you know, away from the main town areas there are challenges with price, because of the distance,” Mr Kamikamica said.
“But that being said, Government needs to just ensure that the prices are not too excessive, as that makes it hard to do business on the island. So, it’s under review and we’ll see what comes out of that review and hopefully, if there are some measures we can take to save costs, we will certainly look at that.”
Tavuki villager Epeli Veremalua had requested Mr Kamikamica to look into the cost of transporting concrete blocks from Viti Levu to Kadavu, which came with an added levy from the shipping company of $2 per block.
Mr Veremalua said apart from having to pay $2.20 for each concrete blocks at the hardware shop, they are also paying absurd freight charges, and this was a challenge for those intending to build homes or help contribute to development on the island.
He asked if Government could look into the matter and if possible, to help provide freight assistance to those living in maritime areas.
When asked if the lack of competition in shipping services for the Kadavu-Suva route was contributing to the high freight and price charges, Mr Kamikamica said there was a possibility.
“Potentially. I mean, I haven’t actually looked at it closely enough in terms of, compared to Nabouwalu. Nabouwalu has got five services a day. Kadavu is one service a day so potentially there is a bottleneck.
“That is another consideration under review. What FCCC is trying to do but if there’s an inability to save costs and make the costs of doing business and the price of goods in Kadavu, and other maritime areas a bit more affordable, we will certainly try and do our best to solve it.”