Synopsis
On March 24, 2023, the Competition Commission of India (CCI) signed multiple MoUs with global regulators to strengthen cooperation in competition law enforcement, aiming to tackle anti-competitive practices and enhance market integrity.Key Takeaways
- CCI signed MoUs with several international regulators.
- Agreements enhance collaboration in competition law.
- Focus on addressing anti-competitive practices.
- New Competition (Amendment) Act, 2023 introduced.
- CCI conducted 1,446 advocacy programs in five years.
New Delhi, March 24 (NationPress) The Competition Commission of India (CCI) announced on Monday that it has established multiple bilateral and multilateral Memoranda of Understanding (MoUs) with international regulatory bodies to boost collaboration in competition law enforcement.
The purpose of these agreements is to fortify joint efforts in addressing anti-competitive practices that span across national borders.
The MoUs were signed with competition authorities in Egypt, Mauritius, Japan, Brazil, Canada, Australia, the European Commission, and the United States Department of Justice (DOJ).
Moreover, India’s involvement in BRICS highlights the importance of cooperation in competition law to ensure equitable market conditions. These agreements feature provisions for enforcement collaboration, tailored to the legal and regulatory frameworks of each participating nation.
The Indian government has also integrated competition-related clauses in 14 Free Trade Agreements (FTAs) with its trade partners.
These arrangements guarantee that the involved nations implement suitable measures against anti-competitive activities, thereby facilitating seamless trade and investment.
In the last five financial years, the CCI has probed 35 cartel cases across diverse sectors.
To bolster its enforcement capabilities, the Competition (Amendment) Act, 2023 introduced the ‘lesser penalty plus' (LPP) mechanism, which incentivizes whistleblowers within cartels to reveal extra information regarding other undisclosed cartels.
This initiative aims to dismantle cartel networks and enhance market transparency. The amendment also brought forth the 'hub & spoke mechanism', broadening the scope of cartel investigations.
This provision empowers the CCI to act against businesses or individuals that, while not directly involved in similar trades, contribute to facilitating anti-competitive agreements.
Beyond enforcement efforts, the CCI actively engages in market research and advocacy initiatives to combat unfair practices.
Over the past five years, it has conducted 1,446 advocacy programs to raise awareness about competition laws among businesses and stakeholders.
Earlier this month, Minister of State for Corporate Affairs, Harsh Malhotra, stated that the CCI is making remarkable strides in addressing unjust business practices by dominant firms.
“It is crucial to protect the interests of stakeholders, including MSMEs, to offer them fair opportunities for competition and innovation,” the Minister remarked during the 10th National Conference on the Economics of Competition Law held in the national capital.
