Amazon is under fire for price gouging and exploiting the COVID-19 pandemic after a report was released on Wednesday.
The report from US consumer watchdog PIRG claims that Amazon has been marking up essential items such as masks and sanitizer, making them up to 1000 percent more expensive.
In August, the watchdog compared the prices of 10 staple products likely to be in high demand during the pandemic with the prices from other retailers such as walmart.
"The results were stark," the report states.
Amazon products were two to fourteen times more expensive than the other retailers with disinfectant wipes that were usually priced at $5 going for $37.95.
The report comes after Amazon earlier claimed that: "Price gouging has no place in our stores."
This followed an unfavourable report in February which showed a minimum 50 percent spike in the prices of 90 types of surgical masks and hand sanitizers.
According to PIRG, price gouging occurs when there is an increased need for a product and suppliers take advantage of this by increasing prices dramatically. Although this could be caused by a modest price increase in the overall marketplace price due to disruptions in the supply chain, it can also represent profiteering.
Amazon isn't the only company accused of exploiting people's increased need for certain items during the COVID-19 pandemic. As a result PIRG is calling for the Government to introduce stronger policies to prevent price gouging.
Amazon has also been facing building criticism for the multitude of faulty AmazonBasic electronic appliances that haven't been removed from the market.
Consumers have complained about scorched multiplugs, fuse-shorting car chargers and microwaves bursting into flames.
In one case an Amazon phone cable got so hot it set a chair on fire and injured a 20-year-old man.
Despite these complaints, many of the items are still available on Amazon.
Amazon founder and CEO, Jeff Bezos, became the first person to be worth $200 billion on August 26, 2020.
