Selling Goods Below Market Price

Authored by Dr. Muhammad Zia-ur-Rahman Azmi (رحمه الله)

Ruling on Increasing Prices for Certain Customers​

It is essential that when goods have a standard price in the market, you should not increase the price arbitrarily.

1. Selling Below Market Price:
   There is no harm in selling goods to a customer at a price lower than the market rate. This is permissible and does not contradict Islamic principles.
2. Exploiting Customers by Overpricing:
   It is prohibited to sell goods at a price higher than the market rate to certain customers, especially:
   
   • When the buyer is simple-minded or lacks knowledge about trade and pricing.
   • Exploiting their simplicity or ignorance by charging more than the prevailing market price is not permissible.

This ruling ensures fairness in trade and prevents exploitation, as emphasized by Islamic teachings.

—Referenced from Ibn Baz: Majmu' al-Fatawa wa al-Maqalat, Vol. 19, Pg. 109.