Towards Having an Effective Competition Policy in Bangladesh

1
Towards Having an Effective Competition Policy in
Bangladesh

• Dr Selim Raihan

2
Do we need a competition policy?

• Effective competition policy and law is important
  in shaping business culture.
• Governmental measures that directly affect the
  behaviour of enterprises and the structure of
  industry constitutes competition policy.
• The law is a piece of legislative enactment to
  regulate the marketplace, which can be enforced
  in a court of law.

3
Do we need a competition policy?

• In most of the countries competition policy and
  law aim at promoting competition by discouraging
  anti-competitive behaviour.
• For a business, such a policy means fairness as
  it acts against anti-competitive practices.
• For consumers this leads to lower prices and
  improved services.

4
Do we need a competition policy?

• Country experiences do not reveal any uniform
  pattern.
• Some countries have formal competition policy,
  some do not.
• However, country experiences also suggest that
  even informal but effective competition policy
  and law can be useful.
• In Bangladesh, therefore, it is important to
  identify the policies and to formulate laws which
  can ensure competition and be effective, whether
  formal or informal.

5
Competition Policy without Competition Law?

• There are good reasons for having a competition
  law to provide legal backing to any existing
  competition policy.

6
How can the national competition policy be
formulated?

• Keeping in mind the national context.
• Management of resource constraint.
• Provisions for exceptions and exemptions?
• How to deal with public sector enterprises?
• Role of consumer organisations.
• International dimension.

7
How can the national competition policy be
formulated?

• Four critical factors are important
• Political will
• Expertise
• Efficiency
• Resources

8
How can the national competition policy be
formulated?

• Role of government
• Role of political parties
• Role of international organisations
• Role of consumer associations
• Role of media

9
How can the national competition policy be
formulated?

• Consumer associations and media can help in
• creating effective pressure group for getting the
  consumer law formulated and enacted, and
  strengthening it from time to time 
• using the consumer law for individual complaints
  as well as public interest litigation 
• testing and informing the people about the
  quality of various goods
• educating consumers and consumer activists in a
  sustained manner and
• creating, training and networking with small
  consumer groups at the grass root level.

10
How to Make theCompetition Policy and Law
Effective

• Consistency with other policies
• Effective leadership
• Political support
• An active consumer movement