Towards Having an Effective
Competition Policy in Bangladesh
Dr Selim Raihan
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.
Do we need a competition policy?



In most of the countries competition
policy and law aim at promoting
competition by discouraging anticompetitive behaviour.
For a business, such a policy means
fairness as it acts against anticompetitive practices.
For consumers this leads to lower
prices and improved services.
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.
Competition Policy without Competition
Law?
There are good reasons for having a
competition law to provide legal
backing to any existing competition
policy.
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.
How can the national competition
policy be formulated?




Four critical factors are important:
Political will
Expertise
Efficiency
Resources
How can the national competition
policy be formulated?





Role
Role
Role
Role
Role
of
of
of
of
of
government
political parties
international organisations
consumer associations
media
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.
How to Make the
Competition Policy and Law Effective




Consistency with other policies
Effective leadership
Political support
An active consumer movement