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Bangladesh Country Advocacy Document. Iftekar Ahmed Senior Research Fellow, BEI January 2, 2006. Competition Law/Policy in Bangladesh. No Competition Policy Monopolies and Restrictive Trade Practice (Control and Prevention) Ordinance, 1970 Has not been implemented but still valid

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bangladesh country advocacy document

Bangladesh Country Advocacy Document

Iftekar Ahmed

Senior Research Fellow, BEI

January 2, 2006

Bangladesh Enterprise Institute

competition law policy in bangladesh
Competition Law/Policy in Bangladesh
  • No Competition Policy
  • Monopolies and Restrictive Trade Practice (Control and Prevention) Ordinance, 1970
  • Has not been implemented but still valid
  • Ordinance prohibits
    • Undue concentration of individual economic power
    • Unreasonable monopoly power
    • Unreasonable restrictive trade practices

Bangladesh Enterprise Institute

slide3

MRTP Ordinance 1970

  • Relevant phrases are not properly explained
  • Provides for the creation of a Monopoly Control Authority to enforce the provisions of the Ordinance, but was never constituted
  • Never been implemented
  • If revived needs amendments
  • Need for a new law

Bangladesh Enterprise Institute

challenges
Challenges
  • Challenges to instituting a competition regime are enormous
  • No quick and simple remedy that will be immediately effective across the board
  • Even if a law is drafted, past experience shows poor implementation with weak enforcement

Bangladesh Enterprise Institute

develop constituency
Develop Constituency
  • Targeted stakeholders for advocacy and capacity building
    • Government
      • sensitize and motivate
    • Business
      • demonstrate benefits of a competition regime
    • Media
      • galvanize wider public understanding and support
    • Consumers
      • empower to champion and act as pressure group

Bangladesh Enterprise Institute

three step process
Three-Step Process

Step 1: Create demand

  • Raise awareness of stakeholders

Step 2: Draft/Amend/Adopt Law

  • capacity building of policy makers
  • wide consultation

Step 3: Implementation and enforcement of law

  • capacity building of the Competition Authority

Bangladesh Enterprise Institute

strategy 1 target sectors
Strategy 1: Target Sectors
  • Identify priority sectors
  • Selection Criteria:
    • High visibility
    • Wide impact
    • Rapid implementation
    • Demonstrable benefits

Bangladesh Enterprise Institute

strategy 2 information cell
Strategy 2: Information Cell
  • Create an Information Cell and Consumer Hotline
  • Monitor abuses of market power
  • Generate competition status reports
  • Provide dialogue space for stakeholders

Bangladesh Enterprise Institute

strategy 3 consumer awareness
Strategy 3: Consumer Awareness
  • Information dissemination
  • Conduct training on competition issues

Bangladesh Enterprise Institute

strategies
Strategies

Step 1

Step 2

Step 3

Create Demand

Draft Law

Implement Law

Strategy 1:

Target Sectors

Strategy 2:

Information Cell

Strategy 3:

Consumer Awareness

Bangladesh Enterprise Institute

slide12

market

business

consumer

competition regime

Competition

Authority

government

Trade

bodies

information

cell

Media

informed

consumer

civil society

Bangladesh Enterprise Institute

ad