ISLAMABAD, Sept 20: Monopoly Control Authority (MCA) has initiated consultations with different stakeholders for carrying out amendments in the Monopoly & Restrictive Trade Practices Ordinance, 1969, in line with the present policy of the government to encourage investment.
The change in the 32 year-old law, under which the Authority was created, has been in the works for several years. A draft law incorporating provisions for enhancing consumer protection, freedom of competition and curbing of monopolies submitted to the Ministry of Finance in 1998 still awaits government’s approval.
This was in line with the trend in rest of the world to promote consumer interests without undue harassment of the business community. Accordingly, in countries such as Italy, Malaysia and Hong Kong, there exist departments of competition which can help keep monopolies in check.
Encouraged by the moves initiated by the government in mid-1990s to stimulate consumer movement as evident from the enactment of consumer protection law for Islamabad capital territory as the initial step in that direction, there have arisen a consumer protection council and a health NGO led by some public-spirited youth and medical doctors.
The World Trade Organization also envisioned a whole new set of legislative regime in order to allow unfettered competition. Apparently, however, it is doomed because of the apprehensions in most of the countries owing to its implications for their own industry and economy.
In a meeting chaired by the Finance Minister, Shaukat Aziz, it was decided to desist from bringing in a new law and carry out amendments in the existing law in order to make it “business-friendly” and “consumer-oriented”.
The MCA, its chairman Saleem Asghar Mian told this correspondent, has since prepared a draft through in-house discussions within the Authority.
In order to obtain the views of other stakeholders, the Authority has asked the Ministries of Commerce and Industries and the Director General of Prices (an attached department of Industries Ministry) to send their suggestions about the proposed amendments by the end of current month.
Besides, the consumer protection NGOs have been invited to a hearing to be held at the MCA office on September 24 for presenting their suggestions.
The MCA chairman would visit Karachi some time next month for obtaining the views of the apex trade body, the Federation of Pakistan Chambers of Commerce and Industry.
Meanwhile, Saleem Asghar Mian has been invited by the first inaugural conference of the International Competition Network to be held at Naples (Italy) for a presentation on the legal and administrative infrastructure in Pakistan before delegates from different countries of the world.
Mr Saleem Asghar, it may be mentioned, was elected as President of the UN Conference held at Geneva last July under auspices of the UNCTAD, Competition Wing. He thus became the first Asian to hold that onerous position.
On invitation of UN, he already has been offering advice to the governments of Malaysia and Hong Kong on the formulation of competition law. While these governments had laws for consumer protection, they were still in the process of legislating a legal system for competition.