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Mukesh Tyagi Victor Ogalo Eleanor Fox, Professor, New York Rajeev D

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Mukesh Tyagi Victor Ogalo Eleanor Fox, Professor, New York Rajeev D From the Bottom Up From the Bottom Up Published by CUTS Centre for Competition, Investment & Economic Regulation D-217, Bhaskar Marg, Bani Park, Jaipur 302 016, India Ph: +91.141.228 2821, Fax: +91.141.228 2485 Email: [email protected], Website: www.cuts-ccier.org, www.cuts-international.org In Cooperation with: ISBN 978-81-8257-082-5 © CUTS, 2007 Citation: CUTS, 2007, From the Bottom Up Printed at Jaipur Printers P. Ltd., Jaipur 302 001 #0704, Suggested Contribution: INR500/US$50 In Partnership With: Botswana Institute for Development Policy Analysis Botswana Botswana Council of Non-Governmental Organisations Botswana Ethiopian Consumer Protection Association Ethiopia Centre for Social Research University of Malawi, Malawi Malawi Economic Justice Network Malawi Faculty of Social Studies and Humanities University of Mauritius, Mauritius Institute for Consumer Protection Mauritius Associação de defesa do consumidor de moçambique Mozambique Namibia Economic Policy Research Unit Namibia Consumer Education Trust of Uganda Uganda Acknowledgements “From the Bottom Up” is the outcome of the cumulative efforts put together by many a individuals. Significant contributions made by Country Researchers, Partner Organisations, members of National Reference Groups in the project countries, members of Project Advisory Committee, members of the International Advisory Board of CUTS CCIER, a young, dynamic and dedicated team of CUTS and many other external experts and resource persons have indeed shaped and carved this dissertation. Words alone cannot convey our heartiest gratitude to them and to each and every individual who have contributed in every small way towards bringing out this research volume. But its only words that this world thrives on. We express our sincere gratefulness to all, without whom the smooth and successful implementation of the project would not have been possible. Project Advisory Committee George Lipimile Flora Mndeme Musonda Zambia Competition Commission, Zambia East African Community (EAC), Tanzania Peter Muchoki Njorge John Gara Monopolies and Prices Commission, Kenya Commercial Justice Advisor, Uganda Trudi Hartzenberg John Preston TRALAC, South Africa DFID, UK. David Lewis Anita Kristin Fausa Competition Tribunal, South Africa NORAD, Norway David Ong’olo Pradeep S Mehta Spellman & Walker Co. Ltd., Kenya CUTS International, India Contributors Botswana Mozambique Botswana Council of Non-Governmental Organisations University of Eduardo Mondlane, Maputo Barulaganye Mogotsi Alberto Bila Botswana Institute for Development Policy Analysis Associação de defesa do consumidor de moçambique Monnane Monnane Mauzinho Nicol’s Ethiopia Economic Justice Coalition Ethiopian Consumer Protection Association Viriato Tamele Abebe Asamre Namibia Alemu Jotie Namibia Economic Policy Research Unit Gebremedhine Birega Dirk Hansohm Seifu Ali Rehabeam Shilimela Malawi Uganda Centre for Social Research, UoM Consumer Education Trust of Uganda Maxton Grant Tsoka Henry Kimera Richard Malawi Economic Justice Network Shaban Sserunkuma Temwa Gondwe India, Kenya & Zambia Mauritius CUTS International University of Malawi Alice Pham Kheshwar Chandan Jankee Clement Onyango Reshma Peerun Nitya Nanda Sunil Bundoo Rijit Sengupta Sajeev Nair Institute for Consumer Protection Mosadeq Sahebdin Reviewers CUTS Staff Cezley Sampson, Ashutosh Soni Smita John Advisor, Government of Jamaica, Jamaica James Chansa Sweepthish Jayan David Ong’olo, Economist, Kenya Madhuri Vasnani Urmimala Chatterjee Mukesh Tyagi Victor Ogalo Eleanor Fox, Professor, New York Rajeev D. Mathur Vikash Batham University School of Law, USA Sanjay Jain Vladimir Chilinya John Preston, DFID, UK Contents Foreword .................................................................................................................................... iii Preface .......................................................................................................................................... v CHAPTER I COMPETITION ADMINISTRATION IN EASTERN & SOUTHERN AFRICA: TAKING THE RIGHT STEPS ...................................................... 1 Introduction ............................................................................................................................................................... 1 The Political Economy Context ................................................................................................................................ 3 Market and Competition ........................................................................................................................................ 15 Sectoral Regulation and Competition ................................................................................................................... 18 Anticompetitive Practices ....................................................................................................................................... 24 Perspectives on Competition .................................................................................................................................. 28 Conclusion ............................................................................................................................................................... 31 CHAPTER II COMPETITION SCENARIO IN BOTSWANA ................................................................. 35 Introduction ............................................................................................................................................................. 35 Country Profile ........................................................................................................................................................ 36 Policies Affecting Competition .............................................................................................................................. 36 Laws and Regulations Affecting Competition .................................................................................................... 38 Market and Competition ........................................................................................................................................ 41 Perspectives on Competition .................................................................................................................................. 44 National Competition Policy ................................................................................................................................. 59 Regional Integration ............................................................................................................................................... 62 Conclusion ............................................................................................................................................................... 62 CHAPTER III COMPETITION SCENARIO IN ETHIOPIA ..................................................................... 65 Introduction ............................................................................................................................................................. 65 Purpose of the Study ............................................................................................................................................... 65 Objective and Methodology ................................................................................................................................... 65 Country Profile ........................................................................................................................................................ 66 Impact of Social and Economic Policies on Competition ................................................................................... 68 Market and Competition ........................................................................................................................................ 74 Competition Law ..................................................................................................................................................... 76 Interface between Competition and Regulation in Select Sectors ...................................................................... 78 Regional Integration ............................................................................................................................................... 81 Consumer Protection Law ...................................................................................................................................... 82 Perspectives on Competition .................................................................................................................................. 82 Conclusion ............................................................................................................................................................... 84 CHAPTER IV COMPETITION SCENARIO IN MALAWI ....................................................................... 87 Introduction ............................................................................................................................................................. 87 Country Profile ........................................................................................................................................................ 88 Selected Policies Affecting Competition ............................................................................................................... 89 Legal and Institutional
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